Monday, May 28, 2007

New Zealand Dollar May Rise on Prospect of Interest-Rate Boost Next Week

(Bloomberg) -- New Zealand's dollar may rise on
speculation Reserve Bank Governor Alan Bollard could raise
interest rates as soon as next week.

The chance of a quarter-point rise in the benchmark interest
rate at the June 7 review rose to 22 percent yesterday from 18
percent last week, according to an index calculated by Credit
Suisse. Yesterday, economists at Westpac Banking Corp. said they
expect a rate increase because of inflation pressures.


Read more at Bloomberg Currencies News

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