After peaking at its highest level against the Australian dollar in nearly a fortnight, near A77.25c, about 5pm yesterday, the kiwi fell away sharply throughout the night to be around the A76.60c level at today's local open.In its morning briefing, ANZ ba
After peaking at its highest level against the Australian dollar in nearly a fortnight, near A77.25c, about 5pm yesterday, the kiwi fell away sharply throughout the night to be around the A76.60c level at today's local open.
In its morning briefing, ANZ bank said further failed topside attempts against the aussie, although better than the previous day off the back of slightly weaker Australian business confidence, were again repelled overnight.
Broadly, demand remained evident for the NZ dollar on dips, as offshore analysis continued around the possibility of a Chinese move on the yuan.
The NZ dollar also fell against the greenback and euro, despite both those currencies being broadly lower, but did rise against the yen.
At 8am the kiwi was buying US71.04c, down from US71.27c at 5pm yesterday, and was down to 0.5228 euro at the local open from 0.5249 at 5pm.
The NZ dollar rose to 66.22 yen at 8am from 66.07 at the local close, while the trade weighted index fell to 65.72 at the local open from 65.95 at 5pm.
The euro fell against most currencies as a Greek debt auction highlighted persistent doubts about Greece's credit risk and investors worried about tepid economic prospects in the euro zone.
Greece passed its first borrowing test since the euro zone agreed on a potential rescue package but paid a high premium to issue the Treasury bills.
BNZ strategist Mike Jones said the NZ dollar had spent most of the 24 hours to 8am consolidating in a relatively tight range between US71c and US71.50c.
Overnight the kiwi lost some of its lustre, with gains scuppered after a late rally in the US dollar following rumours Federal Reserve chairman Ben Bernanke will deliver hawkish testimony tonight.
