KEY POINTS:
The New Zealand dollar posted gains today after bouncing around on Tuesday night.
It ended its domestic session at US54.75c, up from US54.05c at 8am and US54.16c at 5pm yesterday.
In its overnight session the NZ dollar came under selling pressure on lingering fears about a global recession but recovered when the US dollar itself came under pressure.
During its domestic session the NZ dollar had a look below the US54c figure but spent most of the day above the figure and heading higher.
A spurt late in the day was driven by orders in a quiet market, said Imre Speizer, senior market strategist at Westpac.
He said the currency got a small lift earlier in the session from better than expected terms of trade data.
The sharpest quarterly rise in import prices in nearly quarter of a century saw New Zealand's terms of trade drop 2.3 per cent in the September quarter.
Import prices rose 11.1 per cent in the quarter, the largest quarterly increase since 1984, while export prices increased 8.6 per cent, the fastest rate in two years.
The NZ dollar was buying 0.4225 euro at 5pm from 0.4210 yesterday. The kiwi was also at 50.70 yen from 50.25, and at A82.50c from A82.27c against the Australian dollar.
The trade weighted index was 55.03 at 5pm from 54.59 yesterday.
Currency rates:
NZ dlr/US dlr US54.75c US54.16c
NZ dlr/Aust dlr
A82.50c A82.27c
NZ dlr/euro 0.4225 0.4210
NZ dlr/yen 50.70 50.25
NZ dlr/stg 37.08p 36.51p
NZ TWI 55.03 54.59
Aust dlr/US dlr US66.29 US65.85c
Euro/US dlr 1.2954 1.2870
US dlr/yen 92.58 92.74
- NZPA
