The New Zealand dollar traded in a "terrible" US58.39c to US58.50c range today in the run-up to holidays on the London and United States markets, according to ANZ head of foreign exchange John Body.
Mr Body told NZPA that after a volatile offshore session on Friday evening, foreign exchange markets had now gone into "slumber mode" in advance of the Monday holiday for spring bank holiday in Britain and Memorial Day in the US.
Mr Body expected the kiwi to trade in a US58.40c to US58.60c range tonight.
"I'd say we'll pick up the kiwi tomorrow morning somewhere around US58.50c," he said.
Mr Body said that despite the quiet start to the week he expected to see the kiwi hit a fresh five-year-high early in the week and hit the US59c by the weekend.
At 5pm, the New Zealand dollar was buying US58.42c from US58.11c at 5pm on Friday, while the aussie dollar was at US65.91c from US65.61c on Friday evening.
Against the aussie the New Zealand dollar was buying A88.63c at 5pm compared to A88.58c at Friday's local close.
The euro, was at US118.23c at 5pm in Wellington today ($US116.75c at 5pm on Friday).
The US dollar was buying 116.83 yen (117.37 yen).
On the crosses at 5pm, the kiwi was buying 68.30 yen (68.20 yen), 35.64 pence (35.59), 0.7543 Swiss francs (0.7543), and 0.4945 euro (0.4976).
The monetary conditions index was at plus 213 (207), the trade-weighted index was at 61.66 (61.57) and 90-day bank bill yields were at 5.30 per cent.
The February 2005 yields were at 4.91 per cent (4.91), the November 2006s were at 5.08 per cent (5.08), and the November 2011s were at 5.39 per cent (5.37).
- NZPA
<i>Currency:</i> Kiwi marks time while US, UK markets take break
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