NZ dollar lower on weaker risk sentiment
The New Zealand dollar fell as continuing concerns about the debt crisis in Europe weakened risk sentiment.
The New Zealand dollar fell as continuing concerns about the debt crisis in Europe weakened risk sentiment.
At 8am today the kiwi was buying US80.67c against the US dollar, down from US81.31c at 5pm on Friday. It was also down to A76.96c against the Australian dollar from A77.18c, and down to 0.5676 euro from 0.5703.
BNZ currency strategist Mike Burrowes said the NZ dollar had a rollercoaster ride on Friday night. At one point it surged to US81.70c but then fell back as risk sentiment was hit by further concerns about the European debt saga.
Despite that, the NZ dollar held up better against the safe havens of the Swiss franc, Japanese yen and US dollar, than any of the other major currencies, Mr Burrowes said.
The resilience of the NZ dollar had been a consistent theme during the past week, with a recent rise in New Zealand interest rate differentials likely to be a key factor.
ANZ said questions about Greece and other countries within the European Union should increase the chances of lower levels for the NZ dollar that would find familiar support.
The NZ dollar was down to 64.80 yen at 8am today from 65.47 at 5pm on Friday, while the trade weighted index fell to 70.08 from 70.51.
The euro dropped against the US dollar for a third straight session on Friday (local time) and hit a record low against the Swiss franc, with more losses expected if Greece's parliament doesn't approve a package of austerity measures this week.
NZPA
Mon, 27 Jun 2011
Mon, 27 Jun 2011
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NZ dollar lower on weaker risk sentiment
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