KEY POINTS:
The New Zealand dollar closed slightly higher, having inched up in choppy trading today as Japanese investors turned again to high-yielding currencies.
By 5pm, the kiwi was at US70.30c from US70.18c late yesterday afternoon. The kiwi lost a little ground against the Aussie, to A85.79c from A85.92c, but jumped against the yen to 81.70 from 81.18.
The kiwi trod a range during the day of US70.04c to US70.58c, having been under pressure earlier in the session along with the Australian dollar as New York closed.
"Again, Japanese retail investors are chasing high-yield currencies such as the kiwi, so that's helped buoy the kiwi a little this afternoon, but it's been a bit of a mixed bag after again quite a volatile week," Bank of New Zealand forex manager Mike Symonds said.
There was no local data to provide direction, and next week's calendar is light, with just the wholesale trade survey on Thursday and quarterly building data on Friday.
High-yielding currencies were firmer against the yen on expectations that Japanese investment trusts would buy them as many new mutual funds focusing on overseas assets were due for launch on Friday.
Some investors were also holding back until a key speech by US Fed chairman Ben Bernanke for clues about prospects for a cut in the Fed's benchmark federal funds rate.
Reuters currency rates:
5pm today 5pm yesterday
NZ dlr/US dlr US70.30c US70.18c
NZ dlr/Aust dlr A85.79c A85.92c
NZ dlr/euro 0.5148 0.5138
NZ dlr/yen 81.70 81.18
NZ dlr/stg 34.92p 34.82p
NZ TWI 67.80 67.68
Australian dollar US81.97c US81.69c
Euro/US dollar 1.3658 1.3657
US dollar/yen 116.21 115.66
- NZPA
