Kiwi up against U.S. dollar

Press, 5 April 1989, Page 36

Kiwi up against U.S. dollar

PA Wellington The New Zealand dollar closed near its highs against the United States dollar in generally quiet, narrow-range trading yesterday. Dealers said the ' kiwi dollar opened higher at U561.55/65C yesterday morning and closed at U 561.63 after trading as high as 61.75 and as low as 61.39. Trade in the United States currency was brisk after sell-offs in Europe and New York sparked by comments from the Group of Seven leading industrial nations and Bank of Japan selling of dollars for yen, they said.

The United States dollar continued its bearish mood in New Zealand, slipping to 1.8675/85 marks and 131.10 yen. But a dealer, Greg Wilson, at AMP, said he expected this to be a temporary phenomenon and that the short-term trend for the United States dollar was still upwards. Dealers said the kiwi dollar was well bid, particularly after the United States dollar weakened in early trade on Asian

markets. The Australian dollar traded in a 61-point range against the United States dollar, settling at U 582.55/ 60c after trading up to 82.91. On the cross rates at yesterday’s close, the kiwi was worth Aust74.7oc (down 0.25 c on Monday’s close), 1.15 marks, 36.20 p (down 0.44 p), 80.81 yen (down 0.43 yen) and 1.0066 Swiss francs. The Reserve Bank trade-weighted index was set at 60.4 at 3 p.m., compared with 60.7 at 9 a.m. and 60.8 at 3 p.m. on Monday. The United States dollar closed sharply lower in New York, on Monday. Dealers said the G-7 meeting helped push it down. The greenback ended weaker at 1.8750/55 marks from last Friday’s 1.8970/80 and at 131.70/80 yen from 132.75/80. The Australian dollar finished slightly stronger yesterday from Monday’s close, but well off its day’s high of U582.91C, after reports of Reserve Bank intervention, and as corporate sellers took profits. The . Australian dollar closed at U582.22/27c, up from Monday’s 82.16/21.