NZ dollar consolidates after recent tumbles

The New Zealand dollar consolidated today after bouncing back from a sharp fall yesterday.

"There has been all sorts of carnage in currency markets over the past 24 hours," Bank of New Zealand currency strategist Danica Hampton said early today.

By the end of today the talk was more measured with a shift in focus to events in international markets.

"It has really been a day of consolidation after yesterday's wild moves," she said.

The NZ dollar was at US68.17c at 5pm from US68.43c at 8am and US67.45c at 5pm yesterday. The currency had plunged ahead of yesterday's close.

The NZ dollar was at 73.70 yen from 73.50 yen yesterday and at 0.4705 euro from 0.4672 at 5pm yesterday.

It was at A81.85c against from A81.70c.

The trade weighted index was 64.38 at 5pm from 63.97.

The US dollar was trading off eight-month highs against the euro in Asia today as investors squared up positions ahead of interest rate decisions by the European Central Bank and Bank of England.

- NZPA