The New Zealand dollar gained on a broadly weaker greenback, but at one point was at its lowest level against the Australian dollar in six months and close to a decade low.By 8am today the NZ dollar was buying US75.36c from US74.78c at 5pm on Friday, whil
The New Zealand dollar gained on a broadly weaker greenback, but at one point was at its lowest level against the Australian dollar in six months and close to a decade low.
By 8am today the NZ dollar was buying US75.36c from US74.78c at 5pm on Friday, while falling to A75.93c from A76.29c after briefly slipping below A75.60c last night.
The fall of the US dollar saw it reach a fresh 15-year low against the yen after a Group of 20 agreement failed to give investors any reason to stop selling the US currency.
At the meeting in South Korea, G20 finance chiefs agreed to shun competitive currency devaluations but stopped short of setting targets to reduce trade imbalances.
Analysts said the outcome pointed to a status quo in currency markets, with the US dollar staying under pressure due to expectations the Federal Reserve will unveil a second round of quantitative easing as early as its November 2-3 meeting.
The Australian dollar was boosted by news that Singapore Exchange plans to buy Australian bourse operator ASX, and expectations of a rate hike early next month.
Figures out yesterday showed Australia's producer prices jumped last quarter by the most since 2008 as the cost of utilities and building climbed, likely adding to policymaker's concerns that strong economic growth heralds inflationary pressure ahead.
Prices at the final stage of production rose 1.3 percent in the third quarter, well above forecasts for a 0.5 percent increase.
The NZ dollar also edged up to 0.5392 euro at 8am today from 0.5368 at 5pm on Friday, and to 60.94 yen from 60.69. The trade weighted index was up to 66.65 from 66.44.
