The New Zealand dollar fell to its lowest level in a month after breaking through a support level when the Australian dollar came under pressure.The market remained plagued by risk aversion and some analysts were calling the NZ dollar lower.The NZ dollar
The New Zealand dollar fell to its lowest level in a month after breaking through a support level when the Australian dollar came under pressure.
The market remained plagued by risk aversion and some analysts were calling the NZ dollar lower.
The NZ dollar was at 75.79USc at 5pm, down from 76.22USc at 8am and 76.21USc at 5pm yesterday.
Euro zone concerns continue to dominant the market, while a larger-than-expected dip in new claims for unemployment benefits raised hopes the US labour market may have turned a corner.
The NZ dollar was stuck in a range between 75.80USc and 76.40USc until about lunch time today, said Imre Speizer, currency strategist at Westpac. It then broke below 75.80USc and got as low as 75.60USc.
"The aussie capital expenditure report was weak in the detail and aussie had a fall on that. We went partially with that," said Mr Speizer.
"Overall, risk aversion remains present in the market but there was no real hard news," he said. He is calling the NZ dollar lower to US74c.
The NZ dollar had been weak against the Australian dollar but bounded higher against it from around A77.17c in afternoon trading to be A77.47c at 5pm, which was down from A77.87c at 5pm yesterday.
The US Thanksgiving holiday was likely to see light trading that should help keep the kiwi within recent ranges.
Worries that Ireland's fiscal crisis could spread to other euro-zone countries continues to be a theme in markets.
The NZ dollar eased to 0.5685 euro at 5pm from 0.5711 euro at 8am from 0.5691 at 5pm yesterday. It was at 63.26 yen from 63.45. The trade weighted index was at 68.48 at 5pm, down from 68.74 at the same time yesterday.
