Kiwi firms

Press, 3 September 1986, Page 31

Kiwi firms

PA Wellington The New Zealand dollar traded quietly in a narrow range on the foreign exchange market in Wellington, with an absence of fresh factors to influence the market. The kiwi closed slightly firmer at $U50.4872/82 compared with its $U50.4860/70 opening, after trading between $U50.4865 and $U50.4890. Dealers said the kiwi briefly tested US49c, but found it too hard to breach, with a soft Austra- | lian dollar undermining i any rally in the local unit. They said yesterday’s release of the July merchandise trade statistics, showing a substantial surplus for the third consecutive month, failed to impact on the kiwi. One dealer said the market was awaiting Moody’s re-rating of Australia and New Zealand’s balance of payments figures later this month before making any major

moves on the Australian and kiwi dollars. “The market is still bearish for both the kiwi and the Aussie, but it needs something new to resume selling interest,” he said. The Reserve Bank’s exchange rate index was unchanged at 60.3 at yesterday’s 9 a.m., 1 p.m. and 3 p.m. fixes, and only fractionally down from 60.2 at 3 p.m. on Monday. Other wholesale values for the kiwi in late trading were AustBo.lsc, 0.9886 DM, 32.73 p, 75.25 yen and 0.7974 Swiss francs. The Australian dollar finished easier at $U50.6075/82 from its $U50.6093/00 opening. The U.S. dollar closed higher at 2.0250/60 DM and 154.25/35 yen, from its local opening levels of 2.0230/50 DM and 153.50/ 70 yen. Sterling closed stronger at $U5154.25/35, against its 153.50/70 start.