30 Sep 2014

Market gains as dollar dives

8:08 am on 30 September 2014

The New Zealand sharemarket has responded to the Reserve Bank's intervention in the currency market, closing higher today.

The New Zealand dollar has plummeted after the central bank confirmed that it sold $521 million of the currency last month.

The dollar fell as low as 77.07 US cents earlier today - its lowest this year.

The Kiwi had already hit a one-year low and fell further following comments from Prime Minister John Key in which he said the goldilocks rate - not to high, not to low, but just right - is about 65 US cents.

At 5.20pm, the dollar was trading at 77.44 US cents, 88.94 Australian cents, 47.71 British pence, 61.07 euro, 84.7 yen and 4.75 renminbi.

Meanwhile, the local sharemarket gained, with the benchmark Top 50 Index up 6 points to 5260.

Pumpkin Patch's share price fell 2 cents to 41 cents. On Friday, the children's clothing retailer posted a $10.2 million annual net loss for the 12 months ended July - a big step down from the previous year's $5.1 million profit, which itself was just a fifth of the 2012 profit.

Dorchester Pacific's share price was steady at 25.5 cents, while Turners was down 1 cent to $3.14.