SYDNEY: The Australian dollar held its ground on Friday, lifted by a rebound in global stocks and unfazed by a firmer US dollar on the back of growing expectations that interest rates there will be on hold for longer. The Aussie hovered at $0.67, having eked out a small gain of 0.2% overnight to bounce back from a key support level of $0.6660. For the week, it is set for a small gain of 0.2%. That was despite the rise in the greenback, which hit a six-week high after US data - from lower jobless claims and upbeat regional manufacturing surveys - led markets to push out the expected timing for the next Federal Reserve rate cut to June or July. The Aussie also pushed higher on the crosses. It jumped 0.6% overnight on the euro to 0.5770, just shy of an eight-month peak, and gained 0.4% on the yen to 106.26 , near an 18-month high. Across the Tasman Sea, data showed food prices in New Zealand fell 0.3% in December but electricity and gas prices were up strongly, and costs for international flights jumped 33%. That led analysts to revise up their expectations for the fourth-quarter inflation. Both Westpac and ANZ expect CPI to rise 0.5% last quarter, higher than what the central bank had forecast. For the year, CPI likely rose 3%, hitting the top of the 1-3% band targeted by the Reserve Bank of New Zealand. “Stronger inflation than the November MPS forecast is likely to keep the Monetary Policy Committee cautious,” said Miles Workman, a senior economist at ANZ. “But with underlying inflation still going the right way, the bar for delivering anything other than a hold in February remains high.” Markets imply almost no chance of a move in the 2.25% cash rate at the RBNZ’s next meeting on February 18, with the first rate hike not fully priced in by October this year. The kiwi inched up 0.1% to $0.5748, after easing 0.1% overnight. It is set for a small rise of 0.2% this week, with resistance around $0.5810.