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

 


NZ dollar gains in local trading as Chinese data improves

NZ dollar gains in local trading as Chinese data improves, threats remain

By Paul McBeth

Nov. 12 (BusinessDesk) - The New Zealand dollar gained in the local trading session as Chinese data showed the world's second-biggest economy was rebalancing towards domestic consumption, soothing fears of a sharp slowdown.

The kiwi rose to 81.58 US cents at 5pm in Wellington from 81.39 cents at 8am and 81.45 cents on Friday in New York. The trade-weighted index advanced to 73.06 from 72.94 last week.

Chinese industrial product gained 9.6 percent last month from a year earlier and retail sales rallied 15 percent, stoking optimism the world's most populous nation won't slow down as fast as earlier feared and drag down the global economic recovery. Still, investors are concerned about the US ability to bridge a gap between opposing political parties and avoid the 'fiscal cliff' of US$600 billion in tax hikes and federal spending cuts.

"Chinese demand is becoming more refocused on domestic consumption - the retail sales pick up shows more sustainable Chinese growth," said Imre Speizer, market strategist at Westpac Banking Corp in Auckland. "The fiscal cliff is the biggie to watch this week" and the kiwi may "drift lower down to 80.60 US cents" as investors remain nervous about the global situation, he said.

Five of six traders and strategists in a BusinessDesk survey say the kiwi may weaken this week after last week's household labour force survey showed unemployment at a 13-year high, lending greater weight to third-quarter data, including retail sales on Wednesday.

The kiwi traded at 64.83 yen from 64.71 yen last week after government figures showed Japan's economy shrank 0.9 percent in the September quarter, and is at risk of tipping in recession with a contraction forecast for the December period.

New Zealand's currency edged up to 64.12 euro cents from 64.06 cents on Friday in New York after Greek legislators agreed to deep budget cuts in a bid to secure its bail-out package. European finance chiefs will meet today in Brussels to discuss the rescue funding.

The kiwi dollar was little changed at 78.31 Australian cents from 78.38 cents last week, and edged up to 51.31 British pence from 51.23 pence.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Statistics: Net Annual Migration Passes 71,000

A record 71,300 more migrants arrived in New Zealand than left in the January 2017 year, Statistics New Zealand said today. This surpassed the previous annual record set in December 2016. More>>

ALSO:

Fossils: Ancient Penguins Lived Alongside Dinosaurs?

Penguins are much older than previously thought and their evolution probably dates back to the days of the dinosaurs, according to research on the fossilised leg bone and toes of a giant ancient penguin found in rocks near Waipara, North Canterbury. More>>

No Voda/Sky: Commission Declines Clearance For Merger

The Commerce Commission has declined to grant clearance for the proposed merger of Sky Network Television and Vodafone New Zealand. More>>

ALSO:

EARLIER:

Power: IEA Report On New Zealand's Energy System

Outside of its largely low-carbon power sector, managing the economy’s energy intensity and greenhouse gas emissions while still remaining competitive and growing remains a challenge. More>>

ALSO:

NASA: Seven Earth-Size Planets Around A Single Star

NASA's Spitzer Space Telescope has revealed the first known system of seven Earth-size planets around a single star. Three of these planets are firmly located in the habitable zone, the area around the parent star where a rocky planet is most likely to have liquid water. More>>

ALSO:

Auckland Transport Case: Men Guilty Of Corruption And Bribery Will Spend Time In Jail

Two men who were found guilty of corruption and bribery in a Serious Fraud Office (SFO) trial have been sentenced in the Auckland High Court today... The pair are guilty of corruption and bribery offences relating to more than $1 million of bribes which took place between 2005 and 2013 at Rodney District Council and Auckland Transport. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news