WELLINGTON: The New Zealand dollar is set for more volatility in coming weeks after a general election left New Zealand's major parties with no majority to govern, forcing them to enter negotiations with the nationalist New Zealand First Party. Labour could also still be in a position to rule, if together with the Green Party, it gets New Zealand First on board. "I wouldn't be surprised to see the Kiwi a little more volatile on this result," Stuart Ive, dealer at OM Financial said on Sunday, referring to New Zealand dollar. Last month, the New Zealand dollar fell more than 4 percent against the U.S. dollar to be the worst performer amongst major currencies, and underperformed its Australian counterpart as political jitters and worsening data weighed. Volatility has increased around the election too, but it remains within striking distance of its August all-time high.

Source: The Star September 25, 2017 00:22 UTC