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

 


European markets sees risk unwound

11.06 NZST, Wednesday 27 February 2013

European markets sees risk unwound

By Andrew May (Sales Trader, CMC Markets New Zealand)

The New Zealand dollar truly has a fight on its hands to keep its head above the 82c mark after falling nearly 120 points since Monday's open, currently trading at 0.8250.

This has seen markets broadly shift the risk aversion gear stick from second well and truly into fourth. Gold bulls flight to fancy has pumped the bullion price up $20 to USD$1615 oz as traders seek safe haven depots alongside the Japanese yen.

The Kiwi has fallen against all peered crosses and is seeking to re-establish supports that will quantify its attraction as an alternate risk asset. NZDAUD is once again toying with 80c having fallen 90 points in a clear channel this week breaking past a 23.6% Fibonacci retracement further cementing a short term fall towards 0.8030 finding support at January's 0.7980 levels.

The clear sell off in overseas markets and increasing bond yields that culminated yesterday, continues to disrupt European markets with what seems to be an already hung jury looming in the Italian election. Expect more white noise in both the currency and equity markets as a consequence of the uncertainty with the VIX up 30%, the biggest jump in two years to 17 points.

US markets have held their own overnight gobbling down a three course delight that began with stronger than expected Consumer confidence figures (69.6 vs 62) followed by buoyant January home sales numbers that boosted almost 16% against estimates of 3%. Federal Reserve Chairman Ben Bernanke's comments reaffirmed the current stimulus package would not be overshadowed anytime soon. The DOW closed up 115 points recovering some of Monday's catastrophic sell off to 13,900.


http://www.cmcmarkets.com/

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

SOE Results: TVNZ Lifts Annual Profit 25% On Flat Ad Revenue, Quits Igloo

Television New Zealand, the state-owned broadcaster, lifted annual profit 25 percent, ahead of forecast and despite a dip in advertising revenue, while quitting its stake in the pay-TV Igloo joint venture with Sky Network Television. More>>

ALSO:

Insurers Up For More Payouts: Chch Property Investor Wins Policy Appeal In Supreme Court

Ridgecrest NZ, a property investor, has won an appeal in the Supreme Court over insurance cover provided by IAG New Zealand for a Christchurch building damaged in four successive earthquakes. More>>

ALSO:

Other Cases:

Royal Society: Review Finds Community Water Fluoridation Safe And Effective

A review of the scientific evidence for and against the efficacy and safety of fluoridation of public water supplies has found that the levels of fluoridation used in New Zealand create no health risks and provide protection against tooth decay. More>>

ALSO:

Scoop Business: Croxley Calls Time On NZ Production In Face Of Cheap Imports

Croxley Stationery, whose stationery brands include Olympic, Warwick and Collins, plans to cease manufacturing in New Zealand because it has struggled to compete with lower-cost imports in a market where the printed word is giving way to electronic communications. More>>

ALSO:

Prefu Roundup: Forecasts Revised, Surplus Intact

The National government heads into the election with its Budget surplus target broadly intact, delivering a set of economic and fiscal forecasts marginally revised from May to reflect weaker commodity prices and a lower tax take. More>>

ALSO:

Convention Centre: Major New SkyCity Hotel And Laneway For Auckland

Today SKYCITY Entertainment Group Limited revealed plans to build a new hotel and pedestrian laneway of bars, restaurants and boutique shopping on land it owns in the Nelson and Hobson Streets block, expanding the SKYCITY Entertainment Precinct. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

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