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New Zealand dlr pauses near highs; bonds soft

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* Kiwi steady near two-month high as Greece watched* Kiwi also near two year high vs euro on Greece fearsWELLINGTON, M

* Kiwi steady near two-month high as Greece watched

* Kiwi also near two year high vs euro on Greece fears

WELLINGTON, March 19 - The New Zealand dollar stalled close to its highs on Friday as market attention was consumed by offshore developments, with debt-stricken Greece in the focus.

Reports that Greece may have to call in the IMF dominated currency markets, sending the euro <EUR=> weaker across the board, while a lack of major data kept the kiwi trading in a very tight range. [ID:nLDE62H0LL] [ID:nLDE62H1HZ]

"Tied to a post would be the appropriate comment about the kiwi today," said Tim Kelleher, Vice President of Institutional Banking and Markets at Commonwealth Bank of Australia.

The kiwi <NZ=D4> traded at $0.7151/53 at 0510 GMT compared with $0.7134/36 in late local trade on Thursday, after spending the local session drifting between $0.7137 and $0.7155. It hit a two-month high of $0.7180 on Wednesday.

With the euro weakening, the kiwi cross <NZDEUR=R> reach $0.5256, its highest since March 2008.

Data showed New Zealand migration gains were the lowest for a year in February, adding to data showing the recovery from recession is slow and patchy. [ID:nWEL003990]

That was reinforced by data showing a fall in credit card billings last month, pointed to ongoing caution amongst New Zealand consumers. [ID:nSGE62I01Y]

Further data on the state of the recovery is expected next week, with fourth quarter current account and gross domestic product due.

A Reuters poll has the balance of payments deficit narrowing to 1.9 percent of GDP, while the economy is picked to have grown 0.8 percent in the fourth quarter. [NZPOLL]

New Zealand government debt was softer, with the yield on the benchmark 10-year bond <NZ10YT=RR> 4 basis points higher at 5.92 percent.

 
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