As the New Zealand dollar started the week down on the greenback, Analysts were warning last week's rot may continue.
"We are somewhat suspicious of the dollar's ability to hold up while the euro and Australian dollar look as sick as they do," BNZ currency strategist Sue Trinh said.
The
kiwi was at 69.44 after closing at 69.69 at 5pm on Friday, reversing a week of gains since it topped US71c last Monday.
Last week, strong support against the aussie and strong debt inflows (a cumulative $957 million of uridashi and eurokiwi was issued last week) helped mute the extent of the decline.
"The risks suggest that the NZ dollar will see further weakness in the week ahead as it catches up to the rest of the market," Ms Trinh said
The kiwi was up at A92.36c on opening, after closing at A92.19 on Friday.
However, it continued to fall on the other crosses, down to 0.5704 euro (0.5725), 0.8861 Swiss francs (0.8864), falling to 38.64 against the pound, and lower against the yen at 76.63 (76.95).
In Wellington, the euro rose to US$1.2174 (compared to US$1.2169 at Friday's local close), while the greenback was buying 110.36 yen (110.47 yen).
The Australian dollar fell to US75.19c (US76.25c).
On a trade-weighted basis the kiwi was down at 70.09 (70.38) and the monetary conditions index was at 1029 (1046).
On the money market, 90-day bank bill yields were steady at 7.04 per cent, July 2009 bond yields steady at 5.77 per cent, as were the April 2015s at 5.73 per cent.
- NZPA
