Ditch NZ dollar, says US bank

New York-based investment bank Lehman Brothers has recommended selling the "dollar bloc" currencies of Australia, Canada and New Zealand as central banks in those countries move towards cutting interest rates or keeping them unchanged.

It said the prospect of stable or lower interest rates made it "much less attractive to be invested in those currencies".


Expectations of higher rates in the United States, Europe and Japan have traders unwinding bets on foreign-exchange rates and assets in Australia, Canada and New Zealand.