The New Zealand dollar rose through the night against the greenback, reaching its highest level in more than two weeks as the market's appetite for risk improved.
By 8am the kiwi was buying US55.32c, having peaked above US55.70c after moving steadily up from US54.60c at 5pm yesterday.
ANZ
bank said higher commodity prices and a weakening in the US dollar saw the NZ and Australian dollars "roar back into life".
The kiwi was likely to rumble higher, as support came from a weaker US dollar backdrop, ANZ said.
The kiwi fell against the aussie to be at A81.93c by the local open from A83.10c at 5pm.
Attempts by the NZ dollar to break above the pivotal A83.33c level overnight were dealt a reasonable blow as higher commodity prices accelerated the move higher for the Australian dollar, ANZ said.
Against the euro the kiwi slipped to 0.4148 at 8am from 0.4183 at yesterday's local close, but the NZ dollar did lift a little against the Japanese currency, to 50.75 from 50.46. The trade weighted index was little changed at 54.84 by 8am.
The US dollar fell broadly, undermined by the market's improved appetite for taking risk in other currencies again as short term US yields fall closer to zero.
The US currency, which hit a seven-week low versus the yen and a six-week trough against the euro, was also burdened by data suggesting a further rise in US unemployment in the world's largest economy.
- NZPA
