NZ dollar falls to lowest level against euro in nearly two weeks
The New Zealand dollar fell to its lowest level in nearly two weeks against the euro which rose for a fourth straight session against the greenback.
The New Zealand dollar fell to its lowest level in nearly two weeks against the euro which rose for a fourth straight session against the greenback.
Investors are picking that Greek Prime Minister George Papandreou will survive a confidence vote that could help the country avoid defaulting on its debt.
Papandreou must win the confidence vote if he is to secure backing for a new round of spending cuts, tax hikes and state asset sales needed for a 12-billion-euro lifeline from the European Union and International Monetary Fund.
The NZ dollar slipped from 0.5646 euro at 5pm to a low around 0.5625 early today and was at 0.5635 at 8am. For most of the past 10 days the kiwi has traded in a relatively narrow range between 0.564 and 0.569 euro, as the European currency has been buffeted by concerns about the possibility of a Greek debt default.
The kiwi was also mostly in a tight overnight band against the US dollar, ranging between about US81.45c and US81c, and by 8am it was at US81.18c.
Comments from Fitch Ratings that it would review its US rating if Congress did not agree to raise the country's debt ceiling by August 2, helped push the greenback down against a basket of currencies.
The Federal Reserve has a two-day monetary policy meeting ending tomorrow (NZ time), the first at the US central bank since US economic data started to take on a decisively weaker tone around a month ago.
The NZ dollar slipped to A76.56c at 8am from A76.71c at 5pm against the Australian dollar, and edged up to 65.08 yen from 64.90. The trade weighted index was 69.99 at 8am from 69.96 at 5pm.
NZPA
Wed, 22 Jun 2011
Wed, 22 Jun 2011
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NZ dollar falls to lowest level against euro in nearly two weeks
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