Having climbed above US72c for the first time in a fortnight on Friday morning, the New Zealand Dollar has tumbled more than a cent.

By 8am today the kiwi was buying US70.82c, after the greenback surged on raised prospects of interest rate cuts outside the United States and oil prices fell sharply.

"UK GDP data weighed on the pound and sequentially on the EURO, the Aussie dollar and the Kiwi dollar, which are the central banks looked at as potentially cutting interest rates," said David Watt, senior currency strategist at RBC Capital Markets in Toronto.

Data showed the British economy stalled on the second quarter, suggesting a recession might be looming, and added to an overall bleak picture of a slowing European economy.

As well as falling against the US dollar, the kiwi also slipped against the European and Japanese currencies, down to 0.4790 euro at 8am today from 0.4831 at 5pm on Friday, and down to 77.97 yen from 78.30.

Against its Australian counterpart, the NZ dollar was little changed at A81.79c by today's local open. The trade weighted index was 66.02 at 8am from 66.52 at Friday's local close.

ANZ bank expected the NZ dollar to face tests of support throughout this week.

Local economic data this week was unlikely to provide much in the way of support for the kiwi, ANZ said.

Data out this week include food prices today, trade tomorrow, visitor arrivals on Thursday and building consents on Friday.