Currency is top dollar?? Over recent years the New Zealand dollar has become a prominent traded currency in the global market place, laying claim to the 10th most traded currency in the world. While trade related flows, both commercial and private, plays a big role in the exchange rate,The biggest flows in the New Zealand dollar are for speculative reasons. This is where a currency such as the Yen that offers near zero or negative rates of interest is sold, and a currency with a higher rate of interest like the Kiwi dollar is bought to profit from that differential in interest rates. As many central banks around the world have aggressively cut interest rates, the carry trade-related flows into our dollar has increased strongly.

Source: Stuff October 15, 2016 16:02 UTC