KEY POINTS:
The New Zealand dollar eased a few pips on its main crosses - against the US and Australian dollars - but remained close to its record on a trade-weighted index basis.
With the US market closed for Independence Day, activity was relatively quiet.
Against the greenback, the kiwi
largely tracked sideways since early Tuesday, after moving up strongly from US75.80c last Thursday morning.
It hit its highest level since being floated 22 years ago of US78.40c on Tuesday night and came within a whisker of that again yesterday evening. It eased a tad to US78.16c by the close today.
Against the Australian dollar, the kiwi made a minuscule move down to A91.16c from A91.24c at 5pm yesterday.
Australia's central bank yesterday kept interest rates on hold at 6.25 percent as widely expected, but investors reckon solid growth will lead to higher rates in the months ahead.
Against the yen, the NZ dollar remained near a 20-year high of 96 yen while the kiwi held its own against sterling at 38.77p despite the pound jumping to a 26-year high versus the US dollar for a third day overnight -- vaulting $US2.02 and showing no signs of vertigo so far against a broadly weak greenback that stayed near record lows versus the euro.
Analysts said the euro is approaching an all-time high against the yen, supported by expectations that the European Central Bank and its President Jean-Claude Trichet will reinforce market views for higher rates in the euro zone although not immediately.
The Bank of England is widely expected to lift rates by 25 basis points to 5.75 percent after a two-day meeting that ends tonight, taking them further above the Federal Reserve's 5.25 percent rate.
The following are Reuters money market yields at 5pm, with yesterday's rates in brackets:
Call Rate 8.00 (8.00)
90-day Treasury bills 7.88 (7.87)
1 month bank bills 8.26 (8.25)
3 month bank bills 8.37 (8.36)
6 month bank bills 8.45 (8.45)
Government Bonds-July 2008 7.55 (7.52)
Government Bonds-July 2009 7.35 (7.32)
Government Bonds-November 2011 7.13 (7.10)
Government Bonds-April 2013 7.02 (7.00)
Government Bonds-April 2015 6.78 (6.76)
Government Bonds-December 2017 6.70 (6.67)
Government Bonds-February 2016 3.75 (3.75)
- NZPA