The New Zealand dollar has fallen after investors
responded half-heartedly to news Greece secured a second bailout
package, avoiding default.
The kiwi slipped to 83.55 US cents at
8am down from 83.74 cents on Tuesday at 5pm, having climbed as much as a
cent after the Greek deal was announced.
It fell to 63.03 euro cents from 63.17 cents and the trade-weighted index was little changed at 73.7 from 73.77.
European
Union finance ministers emerged from marathon 13-hour talks to announce
they would award 130 billion euros in aid to the debt-stricken nation.
As part of the deal, Greece's private bondholders agreed to wear a
bigger loss on their debt.
European stock markets fell after the
Greek deal was announced as investors start speculating Greece will
struggle to deal with the long term challenges.
"It's a two
dimensional solution on paper what you need is three dimensional
implementation," said Alex Sinton, senior dealer at ANZ New Zealand.
The
kiwi was little changed at 78.15 Australian cents from 78.18 cents on
Tuesday at 5pm and declined to 66.59 yen from 66.72 yen.
NZN