NZD/USD Drops, Other NZD-Crosses Stable

The New Zealand dollar fell against its US counterpart today but held steady versus other majors. Comments for the central bank’s chief and domestic macroeconomic data were detrimental to the currency.

During today’s speech, Graeme Wheeler, Governor of the Reserve Bank of New Zealand, complained about the strength of the New Zealand dollar, saying:

The appreciating exchange rate made it more difficult for our exporters to compete on global markets (if not matched by rising export prices) and skewed growth away from the tradables sector.

He added:

A lower New Zealand dollar is needed to increase tradables inflation and help deliver more balanced growth.

Meanwhile, Stats NZ reported on building consents:

The seasonally adjusted number of new dwellings consented fell 0.7%, following a 1.3% fall in June.

NZD/USD dropped from 0.7251 to 0.7215 as of 14:24 GMT today, backing off from the session maximum of 0.7276. EUR/NZD was at 1.6508, near its opening level of 1.6492.

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