The dollar was softer, pegged back by sluggish U.S. data that tempered expectations of a Federal Reserve interest rate hike.
Rates in Britain are now 0.25 percent while they are 1.5 percent in Australia, near zero in the United States, and negative in Japan and Europe. "Given that volatility is relatively low, liquidity is so abundant and yields are so ridiculously low or negative in some parts of the world, New Zealand just stands out like a sore thumb," said ANZ Senior Economist Philip...
The AUD/USD pair is likely to trade in a tight range and hover towards $0.76, says Maybank's Saktiandi Supaat.
The dollar held lower at the end of a week dominated by flows into higher-risk currency plays like the Australian and Canadian dollars.
The FX market will likely trade in a range until September, awaiting announcements from the BOJ and the Fed, says ABN AMRO Bank's Roy Teo.
Back in March, the Fed did say it could not tighten if the greenback strengthens too much, says Nordea Markets' Jesper Bargmann.
The New Zealand dollar surged after its central bank made a smaller interest rate cut than some had expected.
SINGAPORE, Aug 11- The New Zealand dollar surged to its highest level in more than a year on Thursday after the Reserve Bank of New Zealand cut interest rates as expected, disappointing some who had been betting on more aggressive easing. The New Zealand dollar rose to as high as $0.7351, its highest level since May 2015, before settling back to stand at $0.7265, up 1.1...
The price action in the NZD/USD suggest that RBNZ did not sufficiently meet the market's dovish expectations, says Citi's Todd Elmer.
The RBNZ needed to consider how much lower can it cut record-low cash rates in order to derive a weaker kiwi, says UOB's Alvin Liew.
The RBNZ has to balance both the growing housing bubble and the dairy sector, which is under pressure, explains UBS' Wayne Gordon.
There has been a revival of U.S. oil production which has again fueled fears of an over-supply, says Jefferies's Sean Darby.
SINGAPORE, Aug 11- The New Zealand dollar surged to its highest level in more than a year on Thursday after the Reserve Bank of New Zealand cut interest rates as expected, disappointing some who had been betting on more aggressive easing. The New Zealand dollar rose to as high as $0.7351, its highest level since May 2015. The kiwi jumped after the Reserve Bank of New...
The kiwi strengthening against the dollar is partly due to speculation of a deeper rate cut by the RBNZ, explains ASB Bank's Nick Tuffley.
HSBC's Paul Bloxham says the RBNZ cut rates because inflation is still well below target, even though New Zealand's growth story is still quite good.
The U.S. dollar fell broadly on Wednesday as U.S. Treasury yields fell and investors waited on a speech by Fed Chair Janet Yellen.
Demand for the Kiwi dollar is strong because of the growth and yield that New Zealand offers, says CIBC's Patrick Bennett.
The Kiwi-Aussie dollar cross is one way to play the currency markets, says Saxo Capital Markets' Kay Van-Petersen.
The market will only focus on Fed risk after it has bypassed near-term event risks such as the U.S. elections, says JPMorgan's Jonathan Cavenagh.
Sterling fell against the dollar after the Bank of England hinted at further easing.