The New Zealand dollar shot to a fresh 3 1/2-year high against the sagging US dollar yesterday, clearing the way for a push to 55USc.
By 5pm the kiwi was at 54.7USc - its highest point since May 1999 - and well up on Thursday's 54.22USc close. The kiwi outperformed the Australian dollar which closed at 58.89USc (58.73USc Thursday).
"It's really a continuation of what we've seen over the last few days - good demand and a general negative US dollar story going on, the Australian dollar also doing extremely well and dragging the kiwi along with it," one dealer said. A lack of supply of New Zealand dollars had also helped.
The kiwi came within points of the next resistance barrier, 54.8USc, and was expected to breach that hurdle last night.
Dealers picked the kiwi to trade between 54.5USc/55USc overseas.
- NZPA
<i>Currency:</i> Kiwi close to 55USc
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