The kiwi was little changed at 84.15 US cents at 8am in Wellington from 84.13 cents at 5pm yesterday.
The New Zealand dollar weakened as stronger data out of the US reassured investors that the Federal Reserve will probably start winding back its stimulus programme next month.
The kiwi fell to 77.73 US cents at 8am in Wellington from 78.32 cents at the 5pm market close yesterday. The trade-weighted
index slipped to 73.71 from 74.01 yesterday.
The US dollar index, which measures the greenback against a basket of currencies, gained after data showed the US economy accelerated in the second quarter and the number of Americans filing new claims for jobless benefits fell last week. The strength in the world's largest economy cemented expectations the Fed will soon start easing back its US$85 billion-a-month bond-buying program.
"The kiwi is a tad weaker this morning on the back of positive US data, stronger GDP figure and a drop in the weekly jobless claims which shows that the US labour market is improving," said Peter Cavanaugh, client advisor at Bancorp Treasury. "Those two bits of data have given markets a little bit more confidence that the Fed will start its tapering at its Sept. 18 meeting."
US gross domestic product increased at a 2.5 per cent annualised pace in the second quarter, up from an initial estimate of 1.7 per cent, according to Commerce Department data. It exceeded the 2.2 per cent rate predicted by economists polled by Reuters and Bloomberg News.
