New Zealand Dollar Retreats, Traders Near Pre-Fed Level

The New Zealand dollar slid sharply today as the market sentiment worsened, sending the currency to the level at which it has traded before the no-tampering decision of the Federal Reserve.

The worsening risk sentiment hurt global stocks. The Standard and Poor’s 500 Index dropped 0.5 percent and the MSCI Asia Pacific Index of stocks went 0.6 percent yesterday. Some analysts say that the drop of the New Zealand currency will be short-lived, but for now it returned to the pre-Fed levels.

NZD/USD tumbled from 0.8371 to 0.8283 as of 15:24 GMT today. NZD/JPY dropped from 82.72 to 81.76 and its daily low was at 81.31.

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