The New Zealand dollar was largely unchanged on the week against the greenback as investor sentiment waxed and waned with little direction and as traders awaited details on how the European Union was approaching Britain's vote to leave.
The kiwi traded at US66.16c at 5pm yesterday, down slightly from US66.29c a week ago in New York. It traded at US66.25c at 8am yesterday, down from US66.59c on Thursday. The trade-weighted index fell to 72.06 from 72.33 on Thursday and 72.48 last week.
Traders were split on the direction of the kiwi this week in a BusinessDesk survey of eight analysts, with four picking it would remain largely unchanged, two predicting a rise and two projecting a fall. The analysts predicted the kiwi would trade between US64.50c and US68.25c this week.
The local currency followed investor sentiment as it ebbed and flowed with Chinese markets re-opening after the Lunar New Year holiday last week, and while Wall St was closed on Monday.
Commodity prices have bounced off 12-year lows on speculation producers may withhold supply in response to the global glut, while the Chicago Board Options Exchange's Volatility Index, known as Wall St's fear gauge, has eased from a five-month high.
"This week has really been about consolidation," said Sam Tuck, senior foreign exchange strategist at ANZ Bank New Zealand in Auckland. "The kiwi's just washing around, and we're expecting that to continue."
Investors are watching how the EU is dealing with Britain's vote on whether to quit the 27-nation block, and whether any deal will be offered to Britain to ensure it stays a member.
The kiwi's just washing around, and we're expecting that to continue.
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ANZ's Tuck said the outcome of negotiations between the nations' countries will probably provide direction for the kiwi on Monday.
The kiwi fell to 59.49 euro cents from 59.78 cents on Thursday, and declined to 46.20 British pence from 46.55 pence.
The kiwi slipped to 4.3148 Chinese yuan from 4.3170 on Thursday, and dropped to 74.69 yen from 75.85. It rose to 93.13 Australian cents from 92.92 on Thursday.
New Zealand's two-year swap rate fell three basis points to 2.48 per cent, and 10-year swaps dropped five basis points to 3.17 per cent. BusinessDesk