The New Zealand dollar fell after stock markets faltered on news European finance chiefs were still at loggerheads over granting Greece its next round of bailout cash.
The kiwi fell to 82.14 US cents at 8.30am in Wellington from 82.40 cents yesterday. The trade-weighted index declined to 73.50 from 73.73.
Stocks on Wall Street and in Europe fell, with the Standard & Poor's 500 Index down 0.5 per cent and France's CAC 30 falling 0.8 per cent, as euro-zone finance ministers failed to cut a deal giving Greece its next tranche of an emergency loan.
The major sticking point appears to be whether the official sector, including the European Central Bank, will have to take a haircut on their Greek bond holdings. Earlier this year, the heavily indebted Mediterranean nation secured a 130 billion euro bailout to
stave off default in exchange for harsh budget cuts.
"Markets are playing the waiting game still on Greece and investors' patience is starting to wear thin," said Mike Jones, currency strategist at Bank of New Zealand in Wellington.