Monday, June 11, 2007

New Zealand Dollar Rises as Higher Yields Lure After Central Bank Selling

(Bloomberg) -- The New Zealand dollar gained as
investors were lured back to the nation's higher-yielding assets
after the central bank sold the currency yesterday.

New Zealand's record 8 percent benchmark interest rate has
helped the currency, known as the kiwi, gain 7 percent this year.
The highest borrowing costs after Iceland's among AAA-rated
countries, and the chance of further increases, is helping the
local dollar pare losses after the central bank said those gains
were ``unjustified'' and announced its had sold the currency.


Read more at Bloomberg Currencies News

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