* NZD five cents lower vs USD since July
* AUD at 9-month peak vs kiwi
* Aussie government yield curve at flattest in over a year
By Naomi Tajitsu and Cecile Lefort
WELLINGTON/SYDNEY, Aug 26 (Reuters) - The New Zealand dollar plumbed six-month lows on Tuesday as a surprisingly large trade deficit provided speculators with a fresh excuse to sell, while its Australian cousin held its own in the face of a broadly stronger U.S. dollar.
The kiwi extended losses to as far as $0.8311
It moved a notch lower after data showing a larger-than-expected trade deficit in July highlighted the ongoing fall in dairy prices, the country's main export earner.
The kiwi underperformed most major currencies, particularly the Aussie
Against a currency basket
"The kiwi is still strong, but the decline is reflecting a few things catching up with it," said ASB economist Chris Tennent-Brown.
On the whole, he said, the New Zealand dollar is facing pressure from an on-hold policy stance by the central bank, and "dairy prices and the broader export outlook losing a lot of its gloss over the last six months."
He sees the next target at $0.8242, a low hit in February, and below that the year's trough at $0.8052.
Technical signs pointed to further selling after it broke support at $0.8353, the 61.8 percent retracement of its February-July rally.
The kiwi offered limited initial reaction to a statement from Standard Poor's reaffirming its sovereign rating and outlook on New Zealand.
The Australian dollar was relatively stable at $0.9293
It has showed remarkable resilience in recent days against a broadly rising U.S. dollar and remained well within the 92-95 cent band seen since March. Support was found at $0.9270, with resistance around $0.9315.
It stayed strong on the euro at A$1.4200
Charts are bearish on the euro and a break of A$1.4043 would open the way to A$1.3859 and then to A$1.2213, the 2013 trough. The euro has been pressured by rising expectations of another round of policy easing by the European Central Bank.
The Aussie retreated from a near 15-month high of 97.27 yen
New Zealand government bonds
Australian government bond futures bounced, with the three-year bond contract
The premium offered by Australian 10-year yields
(Editing by Shri Navaratnam) ((Cecile.Lefort@thomsonreuters.com)(+61 2 9373-1234)(Reuters Messaging: cecile.lefort.thomsonreuters@reuters.net))
Keywords: MARKETS AUSTRALIA/FOREX