The New Zealand dollar slid down through the US63c level late this afternoon, reaching its lowest level since July 2004.
The currency has fallen nearly 8 percent so far this year, as weak domestic economic indicators raise the possibility of lower interest rates.
Yet it was just a year ago, in March 2005, that the kiwi hit a post-float high of US74.65c.
Traders attributed recent declines to selling by investors unwinding carry trades, in which low interest currencies were borrowed to invest in high yield currencies.
Today the New Zealand dollar traded in a range of around US1c from US63.62c down to US62.86c which was reached in late afternoon trading before the currency scrambled back a little value.
The kiwi was expected to keep falling in the next few months, with more pressure likely from fourth quarter current account and gross domestic product figures due out this week.
The TWI slipped during the day, from US65.18c early in the day to USS64.70c around 5pm.
The Australian dollar also fell today, reaching a 2006 low versus the US dollar and getting near multi-month lows against the euro and yen. It was hit by the same widespread selling of carry trades as the kiwi.
The US dollar slipped to be near a two-month low against the euro, as expectations were scaled back about how much higher US interest rates will climb.
The greenback fell every day last week, hit by a spate of downbeat economic data.
5pm today 5pm Friday
NZ dlr US63.00c US63.68c
NZ dlr/Aust dlr A86.88c A85.92c
NZ dlr/euro 0.5176 0.5234
NZ dlr/yen 73.24 74.40
NZ dlr/stg 35.91p 36.28p
NZ TWI 64.70 65.26
Australian dollar US72.52c US73.60c
Euro/US dollar US1.2170 US1.2168
US dollar/yen 116.23 116.78
- NZPA
<EM>Currency:</EM> New Zealand dollar slips below US63c
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