The New Zealand dollar trod water in thin trade yesterday, with many market participants taking advantage of Waitangi Day today to make a long weekend.
At 5 pm, the kiwi was at 44.52USc, just 4 points above its 9 am level of 44.48c, and down from a high of 44.99c at Friday's close.
"It was a pretty quiet day. Not a lot was happening," Daniel Swasbrook of Deutsche Bank said.
"There was no real interest in the market, with the holiday coming up."
A brief selloff of the aussie in the morning provided the only real interest.
"We saw some interesting selling of the aussie - a stop-loss run which saw the kiwi get down to around the 44.40USc level - and it has just bounced back on buying back of the aussie short positions," Mr Swasbrook said.
Major news this week is the Reserve Bank of Australia meeting tomorrow, at which interest rates are picked to be cut by up to 50 basis points or half a per cent.
Mr Swasbrook said the kiwi would likely trade in a range of 44.10c to 45.20c before the meeting.
"We will really have to wait until Wednesday - that is going to be fairly crucial - to see what the RBA does there."
- NZPA
<i>Currency:</i> Kiwi waits on rate cut
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