A currency strategist says investor nervousness about European debt could continue to hit the New Zealand dollar this week.
After a volatile week, the kiwi fell to a 10 year low of just over 66 cents against the US dollar on Friday, because of ongoing concern about high debt levels in parts of Europe.
It has since recovered slightly and was trading at 67.55 US cents at 11.30am on Monday.
Westpac currency strategist Imre Speizer says concerns about European debt will linger for weeks and possibly months, posing what he calls "a potential negative" for the kiwi for some significant time.
At 12.40pm on Monday, the New Zealand dollar was buying 67.03 US cents, 81.52 Australian cents, 46.48 pence, 60.28 yen and 0.5362 euro. The Trade Weighted Index was trading at 65.02.
