25 Jul 2014

Dollar trades in narrow range

8:02 pm on 25 July 2014

The New Zealand dollar traded in narrow range on Friday.

Westpac currency strategist, Imre Speizer, said the dollar was unlikely to break out the current range, ahead of key economic news in the United States, next week.

It opened up a little bit weaker - not by much. It didn't do much overnight, it really just tracked sideways. About 9am Friday it dropped down to 85.61 and it's just hovered above that for most of Friday. So there hasn't been any news out of significance to drive either global markets or the kiwi dollar.

However Mr Speizer said next week is a very big week in the United States.

"We've got the central bank meeting there, and you've got the very important labour market report and their GDP report, so lots of important news to drive the US dollar which in turn will drive the Kiwi-US exchange rate."

On Friday evening the kiwi was trading at 85.72 US cents. It was also trading at 91.03 Australian cents, 50.44 British pence, 63.65 euro, 87.22 yen and 5.31 renminbi.