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

 


NZ dollar little changed as US budget deadline looms

NZ dollar trades little changed as US budget talks bear down on deadline

Dec. 31 (BusinessDesk) – The New Zealand dollar was little changed against the greenback as traders awaited developments on US budget talks, with the fiscal cliff deadline now just two days away.

The kiwi dollar traded at 81.94 US cents from 81.93 cents in New York on Friday. The trade-weighted index was at 73.53 from 73.55.

President Barack Obama told NBC's Meet the Press in an interview on Saturday that he was “modestly optimistic yesterday, but we don't yet see an agreement.” Senate Democrats have rejected the Republican’s latest offer on averting US$600 billion of tax hikes and spending cuts, Bloomberg reported, citing Senate Democratic aides close to the negotiations. Congress has until Monday midnight to reach an agreement.

The kiwi “is going to have more of an offered bias than a bid bias,” said Tim Kelleher, head of institutional FX sales at ASB Institutional. The local currency will have “a slightly defensive tone” through until the end of the year though it has held up reasonably well given stocks on Wall Street sold off on Friday.

The New Zealand dollar may trade in a range of 81.75 US cents to 82.25 cents today, he said.

On Friday both the Dow Jones Industrial Average and the Standard & Poor’s 500 Index fell more than 1 percent on speculation politicians in Washington would fail to reach agreement on averting the fiscal cliff, which risks pushing the US economy into recession.

Kelleher said traders will be watching for any headlines on progress today.

The kiwi dollar traded at 61.99 euro cents from 61.98 cents in New York on Friday. Figures over the weekend showed a big drop in euro shorts, suggesting the market is easing off on bets the common currency will fall further.

The kiwi traded at 50.67 British pence from 50.68 pence. It fell to 70.36 yen from 70.53 yen and traded at 79 Australian cents from 79.01 cents.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

What Winter? Temperature Records Set For June 20-22

The days around the winter soltice produced a number of notably warm tempertaures. More>>

Conservation Deal: New Kākāpō Recovery Partnership Welcomed

Conservation Minister Maggie Barry says the new kakapo recovery partnership between DOC and Meridian Energy is great news for efforts to save one of New Zealand’s most beloved birds. More>>

ALSO:

Tech Sector Report: Joyce Warns Asian Tech Investors View NZ As Hobbits And Food

Speaking in Wellington at the launch of a report showcasing the value of the technology sector to the New Zealand economy, Joyce said more had to be done to tell the country's technology stories overseas. More>>

ALSO:

Mediaglommeration: APN Gets OIO Approval For Demerger Plan

APN News & Media has received Overseas Investment Office approval for its plan to split out its NZME unit ahead of a potential merger with rival Fairfax Media's New Zealand operations. More>>

New Paper: Ninety-Day Trial Period Has No Impact On Firms' Hiring

The introduction of a 90-day trial period has had no impact on hiring by New Zealand companies although they are now in widespread use, according to researchers at Motu Economic and Public Policy Research. More>>

ALSO:

Corrections: Serco Exits Equity Stake, Remains As Operator

Serco has sold its equity stake in the company that holds the contract to design, build and run Wiri Prison in South Auckland but continues as sub-contractor to operate the facility. More>>

GDP: NZ Economy Grows Faster-Than-Forecast 0.7%

New Zealand's economy grew at a faster pace than expected in the first quarter of 2016 as construction expanded at the quickest rate in two years. The kiwi dollar jumped after the data was released. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news