Kiwi dollar holds steady

The New Zealand dollar managed to hold steady yesterday, as initial sharp losses in equity markets, caused by concerns over the banking sector, were partially clawed back after comments by the US treasury that banks were well capitalised. This helped bank shares rally, and reinforced a recent pattern of equities seesawing as sentiment on the banking sector rises and falls. With little data due domestically the kiwi will continue to be guided by equities and risk appetite.