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

 


NZ dollar slips as fiscal cliff talks grind slower

NZ dollar slips as fiscal cliff talks grind slower in Washington

Dec. 21 (BusinessDesk) – The New Zealand dollar fell amid concern time is running out for politicians in Washington to avert the fiscal cliff and help prevent the world’s biggest economy falling into recession.

The kiwi dollar fell to 83.32 US cents from 83.47 cents at 5pm in Wellington yesterday. The trade-weighted index declined to 74.33 from 74.46.

Officials from President Barack Obama's administration told leaders of US business and financial-services groups that negotiations with House Speaker John Boehner have deteriorated in the last 24 hours, Bloomberg News reported, citing a person familiar with the meeting. Republicans in Congress will vote on Boehner's plan to raise taxes on incomes over US$1 million, though Obama is insisting on a US$400,000 threshold.

“The kiwi has had a stellar run in the last couple of weeks – the downside is where the risk lies,” said Michael Johnston, director of foreign exchange at HiFX. “Financial markets are still focused on the US fiscal cliff negotiations which seem to have stalled.”

The kiwi dropped yesterday after figures showed the economy grew 0.2 percent in the third quarter, half the expected pace, while historical revisions showed New Zealand suffered two recessions in the past four years. The Reserve Bank has forecast a pickup in growth for the fourth quarter.

The New Zealand dollar fell to 51.17 British pence from 51.32 pence and dropped to 62.94 euro cents from 63.09 cent. It rose to 70.31 yen from 70.16 yen after the Bank of Japan yesterday increased its asset purchase programme. The kiwi fell to 79.47 Australian cents from 79.68 cents.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: Dairy Product Prices Decline To Lowest Since July 2012

Dairy product prices dropped to the lowest level since July 2012 in the latest GlobalDairyTrade auction, led by a slump in rennet casein and butter milk powder. More>>

ALSO:

SOE Results: TVNZ Lifts Annual Profit 25% On Flat Ad Revenue, Quits Igloo

Television New Zealand, the state-owned broadcaster, lifted annual profit 25 percent, ahead of forecast and despite a dip in advertising revenue, while quitting its stake in the pay-TV Igloo joint venture with Sky Network Television. More>>

ALSO:

Insurers Up For More Payouts: Chch Property Investor Wins Policy Appeal In Supreme Court

Ridgecrest NZ, a property investor, has won an appeal in the Supreme Court over insurance cover provided by IAG New Zealand for a Christchurch building damaged in four successive earthquakes. More>>

ALSO:

Other Cases:

Royal Society: Review Finds Community Water Fluoridation Safe And Effective

A review of the scientific evidence for and against the efficacy and safety of fluoridation of public water supplies has found that the levels of fluoridation used in New Zealand create no health risks and provide protection against tooth decay. More>>

ALSO:

Scoop Business: Croxley Calls Time On NZ Production In Face Of Cheap Imports

Croxley Stationery, whose stationery brands include Olympic, Warwick and Collins, plans to cease manufacturing in New Zealand because it has struggled to compete with lower-cost imports in a market where the printed word is giving way to electronic communications. More>>

ALSO:

Prefu Roundup: Forecasts Revised, Surplus Intact

The National government heads into the election with its Budget surplus target broadly intact, delivering a set of economic and fiscal forecasts marginally revised from May to reflect weaker commodity prices and a lower tax take. More>>

ALSO:

Convention Centre: Major New SkyCity Hotel And Laneway For Auckland

Today SKYCITY Entertainment Group Limited revealed plans to build a new hotel and pedestrian laneway of bars, restaurants and boutique shopping on land it owns in the Nelson and Hobson Streets block, expanding the SKYCITY Entertainment Precinct. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

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