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

 


NZ dollar rises amid stronger US stocks and Europe economy

NZ dollar rises amid strong US stocks and improved Europe economy

Jan. 30 (BusinessDesk) – The New Zealand dollar is firm, reflecting indications of improving European economies and the expectation that central banks in New Zealand and the United States will keep policy easy this week.

The kiwi was at 83.73 US cents at 8am, up from 83.61 US cents at 5pm on Tuesday.

The international backdrop is looking better with the Dow Jones Industrial Average at a five-year high as this market geared up for a new day.

A positive German consumer confidence report added to the upbeat tone, as the rising euro continued to test US$1.35, a key resistance level.

“It’s nudging ever closer to that magical $1.35 level and someone is going to break through and it will possibly rise to $1.40,” Imre Speizer, senior markets strategist at Westpac said.

He said building permits data due today will not be a market mover.

Traders are waiting for a statement by the US Federal Reserve's Open Market Committee at 8.15am NZ time on Thursday, and the cash rate review by the Reserve Bank of New Zealand (RBNZ) which will follow it.

Speizer said the RBNZ comments may be more dovish than the last press release in December, which could cause a little kiwi selling.

The FOMC may reaffirm that stimulatory programmes will be kept in place after mumble previously of a possible exit.

“I’d expect Bernanke (Fed chairman Ben Bernanke) to say parts of the economy have improved but parts are still a bit questionable. That might cause US interest rates to dip. That’s a potential up for the kiwi,” he said.

Friday’s US payrolls data is a big event for the market but evidence ahead of it has been conflicting.

“It’s a crap shoot more than usual,” Speizer said.

The kiwi was at 79.99 Australian cents from 80.16 cents at 5pm on Tuesday and was at 75.94 yen from 76.08.

It was at 62.08 euro cents from 62.16, and at 53.15 British pence from 53.27.

The trade-weighted index was at 75.28 from 75.62.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

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:

Hager Raid: Westpac Wrong To Release Bank Records To Police

The Privacy Commissioner has censured Westpac Banking Corp for releasing without a court order more than 10 months of bank records belonging to the political activist and journalist Nicky Hager during a police investigation into leaked information published in Hager's 2014 pre-election book, 'Dirty Politics'. More>>

ALSO:

EARLIER:

Crown Accounts: Government Ekes Out Six-Month Surplus Of $9M

The New Zealand government eked out a tiny surplus in the first six months of the fiscal year as growth in domestic consumption lifted the goods and services tax take, while uncertainties over the Kaikoura earthquake costs meant expenses were less than expected. More>>

ALSO:

Almost 400 Jobs: Shock At Cadbury's Dunedin Factory Closure

Workers at Cadbury in Dunedin are reeling after learning this morning that the iconic Cadbury factory is to close, with the loss of almost 400 jobs... “The company had reported it was doing well and this has come out of the blue,” says Chas. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news