The kiwi continued to trade in a tight range today after the European Central Bank (ECB) threw cold water on expectations of a euro-zone rate hike next month.
The kiwi traded between US61.10c and US61.37c today, ending the local session at US61.38c, from US61.42c at 5pm yesterday.
The US dollar rallied after the ECB kept its key interest rate steady as expected at 2.5 per cent, but ECB president Jean-Claude Trichet said a rate rise in May could be too early.
The market had been focused on interest rate differentials among major currencies, and the US dollar had suffered against the euro all week on the back of building expectations of a tightening signal from Mr Trichet.
The market is now waiting on US jobs figures due out tonight New Zealand time. Economists in a Reuters poll expect the non-farm payrolls data to show a gain of 190,000 jobs in March, compared with an increase of 243,000 jobs a month earlier. The unemployment rate is forecast to hold steady at 4.8 per cent.
5pm today 5pm Thursday
NZ dlr US61.38c US61.42c
NZ dlr/Aust dlr A84.02c A84.32c
NZ dlr/euro 0.5030 0.4999
NZ dlr/yen 72.24 72.12
NZ dlr/stg 35.04p 35.03p
NZ TWI 63.03 62.96
Australian dollar US73.05c US72.86c
Euro/US dollar US1.2198 US1.2286
US dollar/yen 117.69 117.41
- NZPA
<EM>Currency:</EM> Kiwi rangebound as ECB talks down rate hike hopes
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