The New Zealand dollar was little changed in local trading as investors await a meeting on EU policymakers that will grant Greece its next round of financial aid and talks between US legislators to bridge the fiscal cliff of $US607 billion in spending cuts and tax hikes.
The kiwi traded at 82.40 US cents at 5pm in Wellington from 82.28 cents this morning and unchanged from the Friday close in New York. The trade-weighted index was 73.73 from 73.68 last week.
European finance chiefs are set to resume talks overnight in Brussels to try and forge agreement on securing the next tranche of rescue funds for Greece, which was forced to seek help after taking on too much debt.
On the other side of the Atlantic, White House officials and Congress representatives will renew talks to try and prevent automatic spending cuts and tax increases coming into effect from January 1.
A deal by the European finance chiefs "should be market friendly which would push the kiwi higher", says Imre Speizer, market strategist at Westpac Banking Corp in Auckland.
"The Europeans don't want to throw big money, but they seem to be willing to throw a little money now, knowing it's gone for good, but they don't want it to blow up right now."
New Zealand's currency may gain this week, according to five of six strategists surveyed by BusinessDesk, trading in a range of 80.50 US cents to 83.50 cents.
Mr Speizer, who is picking a gain, says he expects the kiwi will test the top side of the range.
Traders will watch the Reserve Bank's survey of expectations tomorrow to see where New Zealand financial institutions see inflation going.
The kiwi traded at 63.57 euro cents from 63.49 cents last week and increased to 51.42 British pence from 51.36 pence. It was unchanged at 78.74 Australian cents and traded at 67.77 yen from 67.85 yen.
This article is tagged with the following keywords. Find out more about MyNBR Tags
- NZ POLITICS DAILY: Three 'solutions' to get young people voting
- MARKET CLOSE: NZ shares rise, led by Arvida
- Mixed blessings for Contact Energy from low southern hydro lakes
- Kim Dotcom wins over Trump's favourite broadcaster, angles for US trip with Russia probe 'evidence'
- Matthews to stand down as auditor-general
Most listened to
- Privacy Commissioner John Edwards warns the Law and Order select committee that rules around information sharing are too broad
- Business leaders on Budget 2017: "It’s a pretty stunning failure," says Kerry McDonald of successive governments’ attempts to improve productivity
- Arvida chief executive Bill McDonald on its doubled net profit
- Fonterra chief executive Theo Spierings is confident on the outlook for farmers though challenges remain
- NBR Radio: best of the week ended May 19, with Grant Walker