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

 


NZ dollar may extend drop vs. AUD as iron ore rallies

NZ dollar may extend drop vs. Australian dollar as iron ore prices gain, China recovers

By Paul McBeth

Jan. 7 (BusinessDesk) - The New Zealand dollar may extend its decline against its trans-Tasman counterpart as Australia's currency rallies on rising commodity prices and the prospect of a stronger Chinese economy.

The kiwi fell to 79.17 Australian cents at 5pm in Wellington from 79.35 cents on Friday in New York. It traded at 82.94 US cents from 83.02 cents at 8am and 83.13 cents last week.

Australia's dollar may rally this week as government figures on Wednesday are expected to show consumers lifted their spending 0.3 percent in November from a month earlier, according to a Bloomberg survey, and as Chinese indicators show the world's second biggest economy may not face as steep a slowdown as initially feared. The price of iron ore has climbed about 70 percent in the past four months as Chinese demand for the metal returns.

"Australian retail sales this week should be slightly better than expected, and Chinese data should boost the Aussie dollar more than the kiwi," said Imre Speizer, market strategist at Westpac Banking Corp in Auckland. The New Zealand dollar may extend its decline to 78.75 Australian cents "as the Aussie outperforms," he said.

New Zealand's currency may gain against the greenback this week as traders resume regular service after the abbreviated Christmas and New Year trading weeks after US policymakers got over their partisan differences to reach agreement on the fiscal cliff of US$600 billion in legislated spending cuts and tax increases.

It may trade in a range of 81.80 cents to 84.70 cents this week, with a bias to the upside, according to a BusinessDesk survey of five traders and strategists.

The kiwi traded at 63.54 euro cents at 5pm in Wellington from 63.58 cents on Friday in New York, and was little changed at 51.69 British pence from 51.77 pence last week. The currency fell to 73.05 yen from 73.29 yen last week, and the trade-weighted index slipped to 74.88 from 74.99 on Friday.

(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