New Zealand dollar climbs

15 Feb, 2013

The New Zealand dollar exploded to a record high against a depressed pound and to six-month peaks vs the US dollar on Thursday, after upbeat domestic data highlighted the country's relatively brighter economic prospects. The kiwi vaulted to $0.8493, from $0.8415 early, after a raft of data showed manufacturing activity expanding to its highest level in eight months and consumer confidence lifting to a near three-year peak.
The kiwi last fetched $0.8475 with dealers eyeing large stops behind $0.8500. A break would open the way to $0.8545, its highest since September 2011. Sterling took a beating across the board and plunged to NZ$1.8281, the lowest on record, to last fetch NZ$1.8314. It has fallen 6.5 percent this year.
The Aussie dollar held gains at $1.0355, having recovered from a four-month trough of $1.0227 on Tuesday and on track to post a 0.3 percent rise this week. Key resistance is found at $1.0370, the 38.2 percent of the $1.0227-$1.0599 move, with moving average studies indicating the recent downtrend loosing momentum. Hourly support was seen at $1.0319. Moving average studies point to further downside with the psychological level of $1.8000 seen a target. Sterling skidded to a three-week low of A$1.4964, having slipped 1.4 percent overnight to last buy A$1.4994.

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