Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Markets remain fixated by Fiscal Cliff

15.12 AEDT, Friday 9 November 2012

Markets remain fixated by Fiscal Cliff


By Tim Waterer (Senior Trader, CMC Markets)

Financial markets are finding it difficult to adopt a ‘business as usual approach’ in the wake of the US election, with Wall Street fixated by Fiscal Cliff ramifications. The resulting defensive moves by traders in recent sessions is keeping the US Dollar well supported, particularly when combined with the negative rhetoric out of Europe regarding the ongoing woes in the region.

Chinese inflation data was well received by markets across Asia given that the lower reading would appear to allow more room for monetary easing by the PBoC. Asian bourses bounced from the session lows with traders finding some solace from this one positive development amid all the doom and gloom from the US and Europe which is putting markets on a tentative footing.

The AUD reclaimed the 1.04 level following the Chinese CPI data as traders took encouragement from the softer print. The AUD had been following the similar weaker trend exhibited by stocks across Asia following another session of negativity on markets abroad. Thursdays solid local jobs data is still providing something of an assist to the AUD however the generally negative themes from offshore are limiting any moves to the upside with concerns over the Fiscal Cliff capping risk assets at present.

It was another day of red numbers across the ASX with traders being in a ‘risk off’ frame of mind with traders concerned over the potential trouble brewing in the US and Europe. Ex dividend trading in the financial sector also weighed on the local index today, however stocks did recover some ground after the lower Chinese CPI allayed some fears. Focus will now be on further Chinese data due for release after the Australian market close including Retail Sales and Industrial Production numbers.

ends

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

I Sing The Highway Electric: Charge Net NZ To Connect New Zealand

BMW is turning Middle Earth electric after today announcing a substantial contribution to the charging network Charge Net NZ. This landmark partnership will enable Kiwis to drive their electric vehicles (EVs) right across New Zealand through the installation of a fast charging highway stretching from Kaitaia to Invercargill. More>>

ALSO:

Watch This Space: Mahia Rocket Lab Launch Site Officially Opened

Economic Development Minster Steven Joyce today opened New Zealand’s first orbital launch site, Rocket Lab Launch Complex 1, on the Mahia Peninsula on the North Island’s east coast. More>>

Earlier:

Marketing Rocks!
Ig Nobel Award Winners Assess The Personality Of Rocks

A Massey University marketing lecturer has received the 2016 Ig Nobel Prize for economics for a research project that asked university students to describe the “brand personalities” of three rocks. More>>

ALSO:

Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>

ALSO:

Half A Billion Accounts, Including Xtra: Yahoo Confirms Huge Data Breach

The account information may have included names, email addresses, telephone numbers, dates of birth, hashed passwords (the vast majority with bcrypt) and, in some cases, encrypted or unencrypted security questions and answers. More>>

ALSO:

Rural Branches: Westpac To Close 19 Branches, ANZ Looks At 7

Westpac confirms it will close nineteen branches across the country; ANZ closes its Ngaruawahia branch and is consulting on plans to close six more branches; The bank workers union says many of its members are nervous about their futures and asking ... More>>

Interest Rates: RBNZ's Wheeler Keeps OCR At 2%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2 percent and said more easing will be needed to get inflation back within the target band. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news