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

 


NZ dollar firms on US vote, traders await Chinese data

NZ dollar firms on US vote, traders await Chinese data

Jan. 24 (BusinessDesk) – The New Zealand dollar firmed slightly on approval of a temporary increase in the US debt ceiling, which came after a mixed session overnight.

The kiwi was at 84.18 US cents at 8am, up from 84.05 cents at 5pm. It traded as high as 84.41 cents overnight.

News that the US House of Representative voted on Wednesday US time to approve an increase to the nation's US$16.4 trillion borrowing ceiling for three months moved the kiwi from about 84.10 cents to 84.22 cents in morning trading here.

Without the vote, the US Treasury would not have had enough money to pay all of its obligations by late February, raising the risk of a default.

“I would have thought kiwi would have moved more than that,” Imre Speizer, senior markets strategist at Westpac, said.

With the US vote out of the way the focus has turned to the HSBC Purchasing Managers' Index report from China, due at 2.45pm NZT.

“These things have been ticking higher. I’d expect it to continue and help the kiwi upwards,” Speizer said
.
Otherwise traders noted that the International Monetary Fund had trimmed its 2013 forecast for global growth to 3.5 percent from the 3.6 percent it projected in October.

But it forecast a 4.1 percent expansion in 2014.

Europe's markets had closed before the US vote after absorbing mixed corporate earnings but Wall Street rose following the vote.

Strong earnings reports from IBM and DuPont also helped sentiment.

The kiwi was at 79.80 Australian cents, little changed from 79.78 cents at 5pm on Wednesday.

It was at 74.57 yen from 74.48 yen, and at 63.21 euro from 63.14 euro. It rose to 53.15 British pence from 53.09 pence.

The trade-weighted index was at 75.47 from 75.45

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: Govt Resisting Pressure To Pump More Cash Into Solid Energy

Prime Minister John Key says it is “not the government’s preferred option” to make a fresh capital injection into the troubled state-owned coal miner, Solid Energy, but dodged journalists’ questions at his weekly press conference on whether that might prove necessary... More>>

ALSO:

Lagest Ever Privacy Breach Award: NZCU Baywide Accepts “Severe” Censure In Cake Case

NZCU Baywide says that once it was found to have committed a breach of a former staff member’s privacy, it had attempted to resolve the matter... the censure and remedies for its actions taken almost three years ago are “severe” but accepted, and will hopefully draw a line under the matter. More>>

ALSO:

Scoop Business: PayPal Stops Processing Mega Payments; NZX Listing Still On

PayPal has ceased processing payments for Mega, the file storage and encryption firm looking to join the New Zealand stock market via a reverse listing of TRS Investments, amid claims it is not a legitimate cloud storage service. More>>

ALSO:

Housing Policy: Auckland Densification As Popular As Ebola, English Says

Finance Minister Bill English said calls by the Reserve Bank Governor for more densification in Auckland’s housing were “about as popular in parts of Auckland as Ebola” would be. More>>

ALSO:

Crown Accounts: NZ Government Deficit Smaller Than Expected In First Half

The New Zealand government's operating deficit was smaller than expected in the first six months of the financial year, as the consumption and corporate tax take rose ahead of forecast in December, having lagged estimates in previous months. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

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