The New Zealand dollar backed off Friday night's US73.64c post-float high in local trade today but remained above the US73c mark and looks likely to climb again.
At 5pm in Wellington the kiwi was buying US73.36c from US72.64c at the same time on Friday having traded between US73.32c and US73.50c during the day.
"We're off a little bit from the highs, it's been a pretty quiet day," an Auckland dealer said.
The kiwi surged to a fresh post float high on Friday night when US jobs data disappointed some traders, causing the US dollar to fall.
"Momentum is still there" for the kiwi the dealer said.
"Kiwi still looks like its going to go higher and obviously what the RBNZ is going to do is the key, that's what everybody is tossing a coin about at the moment."
When it releases its March Monetary Policy Statement on Thursday, the Reserve Bank of New Zealand is expected by much of the market to lift its key interest rate by 25 basis points to 6.75 per cent -- providing yield chasing forex investors with more incentive to buy the kiwi.
Elsewhere, the wider forex market was also looking to US trade data on Friday for direction.
Meanwhile, the Australian dollar was trading at US78.97c (US78.24c at 5pm Friday), the euro was buying US$1.3237 (US$1.3111), and the greenback was buying 104.72 yen (105.34).
On the crosses, the kiwi was buying A92.80c (A92.83c), 0.5543 euro (0.5542), 38.18 British pence (38.09), 76.81 yen (76.55), and 0.8577 Swiss francs (0.8578).
The Trade-Weighted Index was at 70.82 (70.52), and the monetary conditions index was at plus 1066 (1045).
On the money markets, 90-day bank bill yields were unchanged at 6.89 per cent, July 2009 bonds were unchanged at 6.23 per cent, and April 2015s were on 6.08 per cent (6.10).
- NZPA
<EM>Currency: </EM>Kiwi edges back from highs
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