A gloomy business confidence survey did little to stall the New Zealand dollar today, with good news from the United States (US) leaving it riding high.
"The kiwi is very perky indeed," Bank of New Zealand currency strategist Sue Trinh said.
Just after 5.30pm today, the kiwi was buying US69.14c, from US68.80c at 5pm yesterday, after trading in a range of US69.14c to US68.78.
The latest National Bank Business Outlook survey, released this morning, shows the lowest level of business confidence since 1988 amid expectations of further interest rate rises and a potential economic slowdown
However, the kiwi shrugged off the gloom on the back of positive news from a US Federal Open Market Committee meeting today that suggested the Federal Reserve "could be laying the groundwork into a tightening campaign".
"The kiwi has was one of the main beneficiaries from this dynamic, right across the board, posting fresh gains on its crosses as well as against the US dollar," Ms Trinh said.
She said the kiwi would maintain its strength overnight as the US is gearing up for Thanksgiving.
"It will be well underpinned at 68.90, and on the top-side, 69.30 should cap it," she said.
The following are Reuters currency rates:
5.30pm today 5pm Tuesday
NZ dlr US69.14c US68.80c
NZ dlr/Aust dlr A93.77c A93.62c
NZ dlr/euro 0.5853 0.5868
NZ dlr/yen 82.04 81.92
NZ dlr/stg 40.15p 40.08p
NZ TWI 71.65 71.55
Australian dollar US73.71c US73.49c
Euro/US dollar US1.1812 US1.1726
US dollar/yen 118.65 119.13
- NZPA
<EM>Currency:</EM> Kiwi shrugs off gloomy business confidence
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