The New Zealand dollar was well bid but nearly static yesterday, as a public holiday in the United States took some of the zip out of world trade.
"We've seen a little bit of exporter buying during the day as people cover their positions, but being a US holiday, it's been dull and boring," said David Fergusson of Greenslades.
The kiwi closed at US42.14c, near the bottom of a narrow 6-point range. It closed Monday at US42.23c.
The Australian dollar was also stuck in the mud, closing at US51.74c, compared with US51.77c Monday.
Dealers were not expecting the kiwi to pick up until New York resumed trading, and picked it to trade between US42.05-30c overnight.
One of the possible few drivers on the horizon was a strong move in the dollar-yen from 132.64 to 133.55 during the day. Another surge could help the kiwi up, said Mr Fergusson. "But for the time being, there's not much to get your teeth into."
On the day the French franc ceased to be legal tender, the euro was buying US87.04c.
On the kiwi crosses, the New Zealand dollar was buying A81.46c (A81.58c at Monday's close), 56.28 yen (55.97), 29.51 pence (29.47), 0.7167 Swiss francs (0.7169), and 0.4841 euro (0.4837). The aussie was buying $NZ1.2277 (1.2280).
The trade weighted index closed at 51.33 (51.31), the monetary conditions index at minus 736 (minus 738), and 90-day bank bills was steady at 4.95 per cent.
On the debt market, the April 2004 bonds were at 5.69 per cent (5.70), November 2006s at 6.36 per cent (6.35) and November 2011s at 6.62 per cent (6.60).
- NZPA
<i>Currency :</i> Kiwi lays low in US holiday-affected market
AdvertisementAdvertise with NZME.