New Zealand dollar. Photo / NZ Herald
The New Zealand dollar rose to a two-month high against the greenback after figures showed US manufacturing growth stoked equities and helped boost investors' appetite for risk.
The New Zealand dollar traded at 78.9 US cents just after 8am this morning, up from 78.20 US cents late yesterday and from
77.25 US cents on Dec. 30, before the New Year public holiday. The trade-weighted index rose to 69.99 from 69.71.
US manufacturing had its best month since June, based on the Institute for Supply Management's factory index, which rose to 53.9 in December from 52.7 in November, while a report showed construction spending in the US rose in November for a third time in four months.
The US data follows on from solid manufacturing activity in China and a better-than-expected jobless report from Germany.
"The New Zealand and Australian dollar climbed because risk appetite has been put on," said Stuart Ive, senior trader at HiFX. "There has been a surge in the stock market - risk is back."
