The New Zealand dollar was today slapped down on most of its major crosses by weaker than expected consumer price inflation (CPI) data, a dealer said.
At 5pm, the kiwi was at US71.33c (from US72.75c at the same time last night), having ranged between US71.30c and US72.21c.
Against the Australian dollar, the kiwi was at A93.11c (A93.53c), having traded in the A92.87c to A93.64c band.
Statistics New Zealand today said CPI for the March quarter was 0.4 per cent, against economists forecasts of 0.6 per cent.
BNZ currency strategist Sue Trinh said the news prompted a massive sell-off of kiwi positions.
"The kiwi got slapped today," Ms Trinh told NZPA today.
"It was pretty hectic after that CPI data today, and the market sold the kiwi right across the board, scrambling to get out of their kiwi positions, against the US dollar and on its crosses," she said.
Weaker than expected CPI data makes it increasingly likely the Reserve Bank will not lift its benchmark interest rate, currently at 6.75 per cent, until June, Ms Trinh said.
On its other crosses the kiwi was at 77.39 yen (78.02), 37.98 British pence (38.32), 0.8677 Swiss francs (0.8723).
The trade-weighted index was at 70.41 (71.09), and the monetary conditions index was at plus 1051 (1105).
The aussie was trading at US76.61c (US77.41c), the euro at US$1.2783 (US$1.2880c), and the greenback was at 108.52 yen (107.76).
On the money markets, 90-day bank bill yields were at 7.03 per cent (7.08), July 2009 bonds were at 6.07 per cent (6.14 per cent), and April 2015s were at 5.96 per cent (6.07).
- NZPA
<EM>Currency:</EM> Dollar slapped lower by CPI data
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