The New Zealand dollar firmed slightly on approval of a temporary increase in the US debt ceiling, which came after a mixed session overnight.
The kiwi was at 84.18 US cents at 8am, up from 84.05 cents at 5pm yesterday. It traded as high as 84.41 cents overnight.
News that the US House of Representative has voted to approve an increase to the nation's $US16.4 trillion borrowing ceiling for three months moved the kiwi from about 84.10 cents to 84.22 cents in morning trading here.
Without the vote, the US Treasury would not have had enough money to pay all of its obligations by late February, raising the risk of a default.
"I would have thought kiwi would have moved more than that," Imre Speizer, senior markets strategist at Westpac, says.
With the US vote out of the way the focus has turned to the HSBC Purchasing Managers' Index report from China, due at 2.45pm NZT.
"These things have been ticking higher. I'd expect it to continue and help the kiwi upwards," Mr Speizer says.
Otherwise, traders noted that the International Monetary Fund had trimmed its 2013 forecast for global growth to 3.5 percent from the 3.6 percent it projected in October.
But it forecast a 4.1 percent expansion in 2014.
Europe's markets had closed before the US vote after absorbing mixed corporate earnings but Wall Street rose afterwards.
Strong earnings reports from IBM and DuPont also helped sentiment.
The kiwi was at 79.80 Australian cents, little changed from 79.78 cents at 5pm yesterday.
It was at 74.57 yen from 74.48 yen, and at 63.21 euro from 63.14 euro. It rose to 53.15 British pence from 53.09 pence.
The trade-weighted index was at 75.47 from 75.45
This article is tagged with the following keywords. Find out more about MyNBR Tags
- Carter Holt Harvey draws councils into leaky school claim
- Crown argues it has power to revoke status of conservation land in Ruataniwha appeal
- MARKET CLOSE: NZ shares gain on Metlifecare result
- Bill English: Drug abuse preventing young kiwis from working
- Spark partners with Netflix to boost flagging broadband share
Most listened to
- New EO on regulations while cyber and ISIS fight to get boost, on Trump’s Beltway
- NZ's strong economy behind another record high migration figure
- Metlifecare's Glen Sowry on trying to be different from the competition
- Vector CEO Simon Mackenzie on how investment is subduing today's profits
- Villa Maria chief winemaker Nick Picone says the next few weeks' weather will determine the quality of this year's vintage