5.50pm
The New Zealand dollar could be headed for a 200 to 300 point slip against its United States counterpart in weeks ahead, a broker said today.
At 5pm, the kiwi was fetching US65.30c (from US65.69c at the same time last night), having ranged between US65.25c and US65.59c today.
The Australian dollar was at US70.07c (US70.46c).
ANZ Investment Bank senior dealer Mark Elliot said the kiwi had slipped against the greenback in quiet trade today.
"The kiwi got a little bit stretched and was unable to break the top end of its range. It's unwinding," he said.
The move lower was within the broader 150 point range seen after the kiwi fell from the US67c band in mid August.
"We're (the kiwi) heading down to the bottom end of the range, down around US64.50c to US64.70c," Mr Elliot told NZPA today.
"We're brewing for a break at the bottom end of the range.
"I wouldn't be surprised, within the next couple of weeks, if the kiwi sheds 200 or 300 points."
US payroll figures due out overnight on Friday could be the catalyst that triggers such a move, Mr Elliot said.
The payroll data was seen as a key factor in whether the US Federal Reserve will move to raise interest rates when its policy-setting committee meets on September 21.
The euro was at US$1.2190 (US$1.2184) and the greenback was fetching 109.49 yen (109.26).
On the crosses, the kiwi was buying A93.20c (A93.11c), 0.5358 euro (0.5385), 36.42 British pence (36.40), 71.50 yen (71.69), and 0.8231 Swiss francs (0.8308).
The trade weighted index was at 66.53 (66.71), and the monetary conditions index was at plus 720 (732).
On the money market, 90-day bank bill yields were at 6.56 per cent (6.55).
February 2006 bond yields were at 6.14 per cent (6.19), July 2009s were at 6.11 per cent (6.18) and April 2013s were at 6.09 per cent (6.18).
- NZPA
<i>Currency:</i> NZ dollar 'brewing for a 200 to 300 point break lower'
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