New Zealand dollar trading got off to a slow start today because of the regional holiday in Wellington and Martin Luther King holiday weekend in the US.
The kiwi was at 83.69 US cents at 8am, little changed from 83.54 cents at 5pm on Friday, when it fell after weaker-than-expected December quarter consumers price index data implied interest rates are not going to rise for some time.
"There was position-squaring ahead of the long weekend on Friday and we've obviously got the Bank of Japan [monetary policy statement] this week," Stuart Ive at HiFX says.
The kiwi was at 75.34 yen at 8am, up from 75.18 on Friday and it is expected to be a big week for that cross, with the BoJ statement due on Tuesday afternoon New Zealand time.
"What we expect to see from the Bank of Japan is them adding further stimulus to their economy. In the last week the yen has weakened considerably," Mr Ive says.
The kiwi is expected to have an upward bias this week, moving toward 84.20 US cents, while having support at 83.30 cents.
"The local economic calendars are empty and there is a US holiday, probably making today a quiet one for markets," Imre Speizer, senior markets strategist at Westpac, says.
Risky assets were under pressure in London, he says. Traders also weighed a disappointing earnings report from Intel against news that US Republicans proposed a three-month debt ceiling in return for spending cuts.
The kiwi was at 79.58 Australian cents at 8am from 79.42 cents at 5pm on Friday, was 62.86 euro from 62.41 euro and 52.70 British pence from 52.27.
The trade-weighted index was at 75.34 from 75.25.
This article is tagged with the following keywords. Find out more about MyNBR Tags
Most listened to
- Cameron Officer talks about the NBR Car of the Year 2015
- John Barnett on Brewer: ‘Boy, has he got a bit to learn’
- Tech commentator Ian Apperley on the dangers of governments cracking down on encryption
- Pumpkin Patch CEO Luke Bunt on his company's turnaround plan
- New Zealand Shareholders Association chairman John Hawkins on A2 Corporation's share purchase plan
- Duncan Bridgeman and Mark Lister discuss the latest news from the New Zealand share market
- “A very ballsy thing to do” – Rodney Hide and Kelvin Davis discuss Serco’s response to Correction’s Mt Eden Prison report
- “The response from shareholders has been overwhelming” — A2 Corporation chief executive Geoff Babidge
- Greg Gent says a board of 13 people is "prehistoric"
- Arvida CEO Bill McDonald on his company's half-year net profit
- Lance Wiggs on the future of food exports
- Paul Brislen discusses the 'snake oil' sales tactics of SalesConcepts