The New Zealand dollar was an underperformer on the currency market yesterday, said Deutsche Bank forex dealer Daniel Swasbrook.
The kiwi closed on the local market at US46.08c, down slightly from 46.12c at Wednesday's nominal 5 pm close.
"The volumes have been medium but the kiwi is struggling to get any direction and is stuck in the 45.80c to 46.60c range," Mr Swasbrook said.
The kiwi would get most of its direction from the aussie, he said, which was well up from US58.78c to 59.17c.
Two days of strong domestic data - which has increased the chances of an interest rate rise - have sent the Australian dollar springing through US59c.
After gathering some bounce with the four-year-high consumer price index (CPI) release on Wednesday, the currency reached even higher with the publication of healthy wages growth figures yesterday.
The average fulltime weekly wage, excluding overtime, grew 1.4 per cent in the three months to May.
The data have increased speculation that the Reserve Bank will consider lifting official interest rates in September.
"The figures we've had this week are certainly pointing to some strong inflation at the higher end of the target," said Colonial State Bank treasury manager Nick Volanakis.
"The aussie could drop back down to about 58.95c, but generally speaking we should be able to maintain these levels.
"59.35c was the high today but I think it could get up towards 59.50c in the next 24 hours."
- NZPA
Kiwi struggles against $A
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