KEY POINTS:
The New Zealand dollar hit a three-week high yesterday and was poised to rise further after being dragged up by a soaring Aussie dollar and renewed appetite for speculative play among foreign investors.
From yesterday's opening of US70.20c, the kiwi dollar clambered to a high of US70.73c in morning trade, closing at US70.55c.
This forum debate has now closed. Here is a selection of your views on the topic.
Jeremy
I cant believe that so many people think the NZ dollar is high. When I first went to the US in 1978, I received US$1.06 for each NZ dollar. Tha's right - the NZ dollar was stronger than the US. A weak dollar is just that - weak. From my perspective, the higher our dollar is, the better. My net worth in overseas current increases, imports get cheaper and holidays get cheaper. Cool!
Karen
Just when I am about to pay my student loan with my US dollars we get hit with a NZ high! Now I will be more out of pocket to reach my dollar amount.
Leonard Lee
Our parent company is in the US and local office is in Auckland. There have ten staff here, all of whom are New Zealand residents and we are paid in NZD. The jump in the NZD means it costs foreign companies more to invest in New Zealand, making us less attractive for foreign direct investment. Our local exporters are not the only ones feeling the pinch with the rising NZD.
Aaron
I live in NZ and get paid in AUD - this is hurting me no end ... go down ya bugger go down
Bronwyn
I do not run a business, but I do live in the states, and all my income is in $. Obviously the rising exchange rate has been of great benefit to me (and any other kiwis living in the US with $ incomes).
Michael
If our business is affected? well the answer is simple. 2 cartons ordered by our US distributor and worth $125,000 are sitting under my desk. If I dare to send them and get paid in US dollars, it will be a net loss of $15,000 on the exchange rate, compared with the last sale we did few months ago. So, I read the Herald and drink coffee. We do not purchase anything nor we spend any money until the picture gets clearer. In some way this is also affecting the local businesses, not only us the manufacturers/exporters.
