The kiwi traded at US0.6984 at 8:30am in Wellington, from 0.6988 late yesterday. The trade-weighted index was at 72.90 from 72.89 yesterday.
Dairy product prices fell to the weakest levels in almost six years overnight, with the GDT average winning price down 1.3% to US$2409. Yet whole milk powder, the biggest product by volume that Fonterra sells through the auction, fell only 0.1% to US$2327 a tonne, which might prompt speculation prices are levelling off.
"If anything, with the grim mood currently hanging over the dairy sector, reflected in the RBNZ’s recently-pared outlook for incomes, such a small dip in prices might almost be perceived as a positive," BNZ currency strategist Raiko Shareef said.
Data out today locally includes the balance of payments for the first quarter, which might provide more evidence of the impact of weak dairy prices on the nation's trade balance.
The kiwi traded at €0.6208 from 0.6194 late yesterday as Greek Prime Minister Alexis Tsipras dug in his toes in the standoff with creditors, defying calls to introduce more austerity measures to free up bailout funds as a crucial month-end debt repayment looms. In a sign of the divide between the heavily indebted nations and creditors, Tsipras reportedly said the International Monetary Fund bears "criminal responsibility" for Greece's debt crisis.
The kiwi traded at A0.9008 from 0.9003 yesterday and fell to 86.13 yen from 86.34 yen. The kiwi was little changed at £0.4463 from 0.4475.
