NZ dollar near 2-year high vs euro as Greece weighs

* Kiwi NZDEUR=R at its highest level since mid-March 2008 against the euro, after a report said Greece was not optimistic about aid from euro zone members. However, Greece's finance minister denies a report that the country may need to turn to the International Monetary Fund for help. See [ID:nATH005287] [ID:nLDE62H0LL]

* Kiwi NZD=D4 holds steady against the U.S. dollar, staying in a narrow range near $0.7150, having drifted from the eight-week high of $0.7180 touched on Wednesday. Kiwi seen facing hefty resistance as it approaches $0.7200 but seen supported at $0.7110/20.

* Euro falls against the U.S. dollar on the Greece worries and falls to a 17-month low against the Swiss franc EURCHF=R after an official says interest rates cannot be ultra-low for ever. U.S. dollar steady against the yen JPY= but may be supported by Japanese corporate demand ahead of three day weekend.

* NZ migration gains the lowest for a year in February with fewer migrants arriving and more locals leaving, adding another element to the slow and patchy NZ recovery. See [ID:nWEL003990]

* Two surveys this week have shown an easing in New Zealand consumer confidence, although sentiment is still reasonably optimistic, which is seen backing the Reserve Bank of NZ's low rates for longer policy. See also [ID:nSGE62G0K7]

* NZ fourth quarter current account and gross domestic product due next week, with expectations of a sharply reduced current account deficit, and growth of around 0.8 percent. See [NZ/POLL]

* NZ government bonds a touch weaker as U.S. Treasuries fell on investors clearing room for next week's sales of $118 billion in notes. ... read original article
Fri 19th March 2010 - 11:20am