The dollar climbed to a 12-1/2-year high against the yen as investors bet that U.S. interest rates will rise later this year.» Read More
Jonathan Webb, Head of FX Strategy at Jefferies Bache, explains the factors driving the New Zealand dollar higher.
Boris Schlossberg, Managing Director at BK Asset Management, says the Reserve Bank of New Zealand could be prepared to weather a strong currency for some time, in exchange for control on its property sector.
The dollar edged higher against the euro and the yen after upbeat U.S. economic data.
Michael Sneyd, FX analyst at BNP Paribas, says investors are going long on the Australian dollar and the New Zealand dollar.
The euro fell on Wednesday, with investors wary after European Central Bank officials ramped up efforts to talk down the currency, with arguably its most hawkish member hinting at a radical softening of monetary policy.
Sterling firmed against a weaker euro on Tuesday after European monetary policy makers signaled possible monetary easing to avoid deflation.
The euro was hurt by signs that growth was slowing in the euro zone's largest economy, Germany.
Data showing a record euro zone trade surplus in January helped the euro rise against the dollar for the first time in three days.
The dollar steadied against major currencies on Thursday after being jerked higher overnight by a Federal Reserve message that a rate hike would be sooner than expected.
Kathy Lien, BK Asset Management, and Michael Gregory, BMO Capital Markets, provide perspective on how rising interest rates will likely impact currencies and fixed income.
The dollar rose against the yen and euro on Wednesday, following the Federal Reserve's announcement it will further unwind monetary stimulus.
A modest easing of tension in Ukraine and a slight increase in U.S. Treasury yields sent the euro on Tuesday against the U.S. dollar and the yen.
The yen heads for its biggest weekly gain in more than a month against the dollar, on tensions in Ukraine and the Chinese economy.
Fears the crisis in Ukraine could intensify led traders to the safe havens of the Japanese yen and Swiss franc.
Eric Viloria, Currency Strategist at Wells Fargo, expects the Kiwi to rise to 88 cents versus the greenback in 2014, after the Reserve Bank of New Zealand on Thursday hiked rates and signaled further tightening ahead.
Investors can look to the New Zealand dollar for buying opportunities, in particular against the Australian dollar which is likely to head lower in coming months, says Ed Ponsi, Managing Director at Barchetta Capital Management.
Concerns about China and other developing economies weakened the Australian dollar and currencies closely linked to commodities markets.
David Greene, Head of Dealing at AFEX Australia, says the Reserve Bank of New Zealand will likely hike interest rates on Thursday, on the back of stable economic conditions.
The ECB's forward guidance may adjust policy to tighten the slack in the Euro zone economy, a senior ECB official said.
The U.S. dollar was supported by hopes U.S. job growth would pick up in the wake of last week's data.