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

 


NZ dollar weakens with Australian dollar on RBA easing bias

NZ dollar weakens with Australian dollar on RBA easing bias

Nov. 21 (BusinessDesk) – The New Zealand dollar weakened along with the Australian dollar after the Reserve Bank of Australia indicated it still has an easing bias, stoking speculation it will cut interest rates next month and eroding the appeal of the down-under currencies.

The New Zealand dollar fell to 81.56 US cents from 81.86 cents at 5pm in Wellington yesterday. The trade-weighted index fell to 73.28 from 73.44. The Australian dollar weakened to US$1.0368 from US$1.0413.

The minutes of the Australian central bank’s Nov. 6 meeting, released yesterday, showed the bank thought that more interest-rate cuts may be needed to enliven the Australian economy as spending in the resources sector wanes. Australia is New Zealand’s biggest market and the two currencies often get tarred with the same brush.

Westpac Banking Corp economists expect the RBA will cut the cash rate from 3.25 percent when it meets next month and “if anything became more confident in their forecasts” after the minutes were released, said Imre Speizer, a strategist at the bank.

The kiwi and Australian dollars suffered even in the face of some more positive global news overnight including comments from Hamas that Palestinians are willing to accept a ceasefire with Israel, the Spanish Treasury sold 4.94 billion euros of bills, exceeding its target, and as European finance ministers meet in Brussels to discuss ways to fill a 15 billion-euro gap in Greece’s public accounts.

“The Aussie and the kiwi performed poorly overnight even though the news flow was positive,” Speizer said.

Stocks fell on Wall Street even after figures showed new home building rose to a four-year high last month.

The kiwi dollar fell to 63.67 euro cents from 63.90 cents and fell to 51.18 British pence from 51.43 pence. It was little changed at 78.60 Australian cents and edged up to 66.58 yen from 66.50 yen.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Air NZ Wine Awards: Victory For Villa Maria As Pinot Noir Thrills

It was a night to remember as Villa Maria Estate picked up one of the highest accolades of the evening, the O-I New Zealand Reserve Wine of the Show Trophy, at the 28th Air New Zealand Wine Awards. The Villa Maria Single Vineyard Southern Clays Marlborough ... More>>

ALSO:

Future Brighter Money: RBNZ Releases New Bank Note Designs

New Zealand’s banknotes are getting brighter and better, with the Reserve Bank today unveiling more vibrant and secure banknote designs which will progressively enter circulation later next year. More>>

ALSO:

Commerce: Supermarket Inquiry Finds No Breaches By Countdown

The Commerce Commission inquiry into anti-competitive behaviour by Countdown supermarkets, alleged by former Labour Party MP Shane Jones, has found nothing to warrant prosecution, although it warns supermarkets to take care in the way they communicate... More>>

ALSO:

Crown Accounts: English Flags ‘Challenge’ To Budget Surplus

Finance Minister Bill English is warning next month’s half yearly fiscal and economic update from the Treasury may not forecast a budget surplus, saying that returning the government’s accounts to surplus in 2015 will be “a challenge”, given the decline in commodity prices and weak global inflation. More>>

ALSO:

March 2015: Netflix To Launch In Australia And New Zealand

World’s Leading Internet Television Network to Offer Original Series, Movies, Documentaries, Stand-Up Comedy Specials and TV Shows for Low Monthly Price More>>

ALSO:

Price Of Cheese (Is Up): Dairy Product Prices Fall To Five-Year Low

Dairy product prices fell in the latest GlobalDairyTrade auction to the lowest level in more than five years, led by declines in rennet casein and skim milk powder. More>>

ALSO:

Gordon Campbell: On The Australians Scoring Trade Points Against Us With The Chinese

It hasn’t been a great year for Trade Minister Tim Groser... To top it off, Australia has just signed a FTA with China that has far better provisions on dairy exports than what New Zealand currently enjoys in our own FTA with China. More>>

ALSO:

Iwi & Local Consultation: Oil And Gas Block Offer 2015 Begins

Energy and Resources Minister Simon Bridges today announced the start of the Block Offer 2015 process for awarding oil and gas exploration permits. More>>

Get More From Scoop

 
 
Standards New Zealand

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