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

 


NZ dollar up on most currencies as Japan announces stimulus

NZ dollar up on most currencies as Japan announces stimulus

Jan. 22 (BusinessDesk) - The New Zealand dollar rose during the local trading day as market-watchers across Asia waited for a crucial Japanese monetary policy decision.

That decision came just after 5pm and saw the Bank of Japan announce a doubling in the country's inflation target to 2 percent and adoption of a US Federal Reserve-style quantitative easing programme of bond-buying.

Bloomberg reported the moves as the most significant commitment yet to end two decades of deflation in the huge but moribund Japanese economy.

The announcement saw the kiwi dollar fall immediately after the announcement, from 75.55 yen at 5pm to 75.17 yen at 5.20pm, close to the 75.06 yen level recorded at 8am this morning and still up on 74.95 yen on Monday.

By 5pm, the kiwi was at 83.99 US cents, up from 83.63 US cents at 8am, and compared to 83.60 cents at 5pm on Monday.

The yen has been so weak that some traders predicted it could rise on profit-taking after the BoJ's position was known, even if it was negative for the yen.

The European situation looked more settled after Germany's central bank said the nation's economy was showing signs of recovery in the first quarter of the year.

Profit results from US companies will flow when the US market returns from a holiday weekend tonight.

Locally, the Cabinet reshuffle today did not alter finance portfolios so there was not much in it for markets.

The kiwi was at 79.79 Australian cents from 79.50 Australian cents at 5pm on Monday. Australian inflation data on Wednesday will be the catalyst for movements on this cross-rate.

"We continue to draw attention to Australia's plight, in particular the reasons as to why National Australia Bank recently increased the degree of cash rate cutting it expects from the Reserve Bank of Australia," Craig Ebert at BNZ said.

"While this is, at heart, real-economy based, it will be reinforced by any weakness in Australia's Q4 CPI report."

The kiwi was 62.93 euro cents from 62.77 euro cents, and 52.99 British pence from 52.69 pence.

The trade-weighted index was little changed at 75.34 from 75.14 on Monday.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

BusinessDesk: APN's NZME Sees Future In Paywalls, Growth In Digital Sales

APN News & Media has touted a single newsroom concept for its NZME unit in New Zealand, similar to what Germany's Die Welt uses, saying an 'integrated sales proposition' is helping it win market share, including ... More>>

Labour Party: Global Milk Prices Now Lowest In 6 Years

The latest fall in the global dairy price has brought it to the lowest level in six years and shows there must be meaningful action in tomorrow’s Budget to diversify the economy, says Labour’s Finance spokesperson Grant Robertson. “Dairy prices ... More>>

BusinessDesk: NZ Inflation Expectations Creep Higher In June Survey

May 19 (BusinessDesk) - New Zealand businesses lifted their expectations for inflation over the next two years, sapping any immediate pressure on the Reserve Bank to cut interest rates, and prompting the kiwi dollar to jump higher. More>>

BusinessDesk: Lower Fuel Costs Drive Down NZ Producer Input, Output Prices

May 19 - Producer input and output prices fell in the first quarter, mainly reflecting lower fuel costs and weakness in prices of meat and dairy products. More>>

Media: Fairfax Media NZ Announces Senior Editorial Team

Fairfax Media New Zealand has today confirmed its new editorial leadership team, as part of a transformation of its newsrooms aimed at enhancing local and national journalism across digital and print. More>>

Science: Flavonoids Reduce Cold And Cough Risk

Flavonoids reduce cold and cough risk Research from the University of Auckland shows eating flavonoids – found in green tea, apples, blueberries, cocoa, red wine and onions – can significantly reduce the risk of catching colds and coughs. The research, ... More>>


BusinessDesk: RBNZ House Alert Speech The Catalyst For Government Action

Prime Minister John Key all but conceded that pressure from the Reserve Bank of New Zealand for concerted action on rampant Auckland house prices was one of the main catalysts for the government's weekend announcements about tightly ... More>>

BusinessDesk: How To Fall Foul Of The New Housing Tax Rules: Tips From IRD

Just because you rented out your investment property doesn't absolve you from paying tax, says the Inland Revenue Department in a summary of commonly made mistakes by non-professional property investors when it comes to their tax liability.More>>

Legal: Superdiversity Law, Policy And Business Stocktake Announced

Mai Chen, Managing Partner at Chen Palmer New Zealand Public and Employment Law Specialists and Adjunct Professor of Law at the University of Auckland, today announced the establishment ... More>>

Housing: More House Price Gains Expected

House price expectations remain high, with a net 56% of respondents expecting house prices will increase. Fears of higher interest rates are fading, consistent with the RBNZ’s signals this year. Affordability and a lack of houses for ... More>>

TDDA: State-Of-The-Art Drug Testing Laboratory To Open In Auckland

World leading drug testing agencies, The Drug Detection Agency (TDDA) and Omega Laboratories, open New Zealand laboratory More>>

Network: Bigpipe Launches Ultra-Fast Broadband Into Wellington

Bigpipe Launches Ultra-Fast Broadband into Wellington Naked broadband provider Bigpipe has extended its national reach, announcing today, the launch of its unlimited UFB offering into Wellington. The Spark Venture business is giving Wellingtonians the ... More>>

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news