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

 

Final Frontier: Rocket Lab And NASA Sign Commercial Space Launch Agreement

Rocket Lab has signed a Commercial Space Launch Act Agreement with the National Aeronautics and Space Administration (NASA). The agreement enables Rocket Lab to use NASA resources - including personnel, facilities and equipment - for launch and reentry efforts. More>>

ALSO:

Scoop Business: Wheeler Downplays Scope For ‘Large’ Rates Fall

Reserve Bank governor Graeme Wheeler says some market commentators are predicting further declines in interest rates that would only make sense for an economy in recession, although some easing is likely to be needed to maintain New Zealand’s economic growth. More>>

ALSO:

Ruataniwha Dam: Consent Conditions Could Mean Reduced Intensity

Legal advice sought by the Hawke’s Bay Regional Council on the Ruataniwha Dam consent conditions has confirmed that farmers who sign up to take water from the dam could be required to reduce the intensity of their farming operation to meet the catchment’s strict nitrogen limit. More>>

Health And Safety: Bill Now Sees Rules Relaxed For Small Businesses

Health and safety law reform sparked by the Pike River coalmine disaster has been reported back from the industrial relations select committee with weakened requirements on small businesses to appoint health and safety representatives and committees. More>>

ALSO:

Bearing Fruit: Annual Fruit Exports Hit $2 Billion For First Time

The value of fruit exported rose 20 percent (up $330 million) for the June 2015 year when compared with the year ended June 2014. Both higher prices and a greater quantity of exports (up 9.0 percent) contributed to the overall rise. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news