Asians sell kiwi

Press, 14 March 1987, Page 24

Asians sell kiwi

The New Zealand dollar was being sold down heavily in Asian markets last evening after trading had closed in New Zealand. At 7.25 p.m., it was at a low of 55.95 c, according to Marshall Futures, in Christchurch. In Sydney, the Australian dollar fell sharply through technical support levels after the official close as selling from Asia triggered stop/loss orders, dealers said. The Australian dollar tumbled to a day’s low of $U50.6785 after the official close of $0.6830/ 35, after an order for about S4OM to SSOM, believed to be out of Japan. The dollar had earlier opened at $U50.6868/73 compared wiith Thursday’s local finish of $U50.6889/93. Some commentators have been saying the strength of the New Zealand dollar has been because of a surge up by the Australian dollar. On the Wellington foreign-exchange market yesterday, slight selling pressure pushed the New Zealand dollar off the US57c mark to $U50.5666/73 near the close of trade. The unit had reached $U50.5715/22 in very early trade, but from there corporate selling on a relatively thin market had pushed it to a low of $U50.5665.

Dealers said there was little interbank activity and the unit had drifted lower on sentiment From a ■ low of 5U50.5515 at the end of last week, the kiwi dollar had risen US2c. The value of the New Zealand dollar yesterday morning (BNZ rates), compared with its value immediately before it was floated in March, 1985, was:

In Tokyo yesterday the United States dollar closed steady against the yen but eased against major European currencies after being confined to a narrow range by a lack of fresh factors to stimulate activity and ahead of the week-end. Growing pessimism over the long-term outlook for the United States economy softened the dollar. The market interpreted bearishly remarks by the chairman ot the Federal Reserve Board, Mr Paul Volcker, that current data did not give a clear sign the deterioration in the United States trade balance had been reversed. The dollar ended at 153.48 yen against 153.35/40 in New York and 153.69 at Thursday’s Tokyo close. In New York on Thursday (early yesterday New Zealand time), the United States dollar closed at 1.8580/90 Deutsche marks.

Mar 1 1985 Marl3 1987 US 44c 56.4c Sterling 41.15p 35.5p Canada 61.2c 74.5c France 4.49ffr 3.49ffr HK $3.43 $4.40 Japan U4yen 86yen N’lands 1.66g 1.18g S’pore 99c 1.211 Switz 1.26sfr 0.87sfr W.Germ 1.47dm 1.05dm Aust 62.4c 82.3c