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

 


Risk appetite battles market stability

10.53 NZST, Wednesday 14 November 2012

Risk appetite battles market stability


By Andrew May (Sales Trader, CMC Markets New Zealand)

It has been a choppy night's trading range for the Kiwi US cross between 0.8156 and 82c. Markets have bounced continuously with the DOW closing 58.9 points -0.46% lower to 12,756.18. The US session has been dragged down by financial and tech heavy magnets Intel, Hewlett Packard, JP Morgan & Microsoft. However, there was a short rally pushing the DOW to a session high 83 points upon news that US congress may have found solidarity with a bias towards the looming US fiscal cliff alongside easing concerns of the inevitable Greek bailout.

As a consequence of the market volatility we've witnessed over the last three months the NZDUSD continues to be thrown aggressively within a three month range of 8127 - 0.8302 due to investors tiptoeing between risk appetite and a potential fiscal meltdown. Get set for further fireworks as we move into 2013.

Locally the NZD may find a little pressure today with Retail sales figures due this morning and the manufacturing index due tomorrow. With pertinent data forecast, we should be aligned for a 0.4% increase to retail sales and possibly moving into just under expansion territory for the PMI.

The NZD/USD opens today supported by the post US market close at 0.8187, yet could retest 0.8165 or lower upon increased anxiety towards the northern hemisphere concerns, thus pushing dollar bulls back into favour and shunning riskier assets.

ends

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

RMTU: Mediation Between Lyttelton Port And Union Fails

The Rail and Maritime Union (RMTU) has opted to continue its overtime ban indefinitely after mediation with the Lyttelton Port of Christchurch (LPC) failed to progress collective bargaining. More>>

Earlier:

Science Policy: Callaghan, NSC Funding Knocked In Submissions

Callaghan Innovation, which was last year allocated a budget of $566 million over four years to dish out research and development grants, and the National Science Challenges attracted criticism in submissions on the government’s draft national statement of science investment, with science funding largely seen as too fragmented. More>>

ALSO:

Scoop Business: Spark, Voda And Telstra To Lay New Trans-Tasman Cable

Spark New Zealand and Vodafone, New Zealand’s two dominant telecommunications providers, in partnership with Australian provider Telstra, will spend US$70 million building a trans-Tasman submarine cable to bolster broadband traffic between the neighbouring countries and the rest of the world. More>>

ALSO:

More:

Statistics: Current Account Deficit Widens

New Zealand's annual current account deficit was $6.1 billion (2.6 percent of GDP) for the year ended September 2014. This compares with a deficit of $5.8 billion (2.5 percent of GDP) for the year ended June 2014. More>>

ALSO:

Still In The Red: NZ Govt Shunts Out Surplus To 2016

The New Zealand government has pushed out its targeted return to surplus for a year as falling dairy prices and a low inflation environment has kept a lid on its rising tax take, but is still dangling a possible tax cut in 2017, the next election year and promising to try and achieve the surplus pledge on which it campaigned for election in September. More>>

ALSO:

Job Insecurity: Time For Jobs That Count In The Meat Industry

“Meat Workers face it all”, says Graham Cooke, Meat Workers Union National Secretary. “Seasonal work, dangerous jobs, casual and zero hours contracts, and increasing pressure on workers to join non-union individual agreements. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news