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

 

R18: The Warehouse Group Praised For Removing Games

The decision by New Zealand’s largest retailer The Warehouse Group (TW Group), to withdraw stocks of the latest version of Grand Theft Auto V (GTA V) and other R18 games, has been praised by advocacy group Stop Demand Foundation. More>>

ALSO:

Air NZ Wine Awards: Victory For Villa Maria As Pinot Noir Thrills

It was a night to remember as Villa Maria Estate picked up one of the highest accolades of the evening, the O-I New Zealand Reserve Wine of the Show Trophy, at the 28th Air New Zealand Wine Awards. The Villa Maria Single Vineyard Southern Clays Marlborough ... More>>

ALSO:

Future Brighter Money: RBNZ Releases New Bank Note Designs

New Zealand’s banknotes are getting brighter and better, with the Reserve Bank today unveiling more vibrant and secure banknote designs which will progressively enter circulation later next year. More>>

ALSO:

Commerce: Supermarket Inquiry Finds No Breaches By Countdown

The Commerce Commission inquiry into anti-competitive behaviour by Countdown supermarkets, alleged by former Labour Party MP Shane Jones, has found nothing to warrant prosecution, although it warns supermarkets to take care in the way they communicate... More>>

ALSO:

Crown Accounts: English Flags ‘Challenge’ To Budget Surplus

Finance Minister Bill English is warning next month’s half yearly fiscal and economic update from the Treasury may not forecast a budget surplus, saying that returning the government’s accounts to surplus in 2015 will be “a challenge”, given the decline in commodity prices and weak global inflation. More>>

ALSO:

March 2015: Netflix To Launch In Australia And New Zealand

World’s Leading Internet Television Network to Offer Original Series, Movies, Documentaries, Stand-Up Comedy Specials and TV Shows for Low Monthly Price More>>

ALSO:

Price Of Cheese (Is Up): Dairy Product Prices Fall To Five-Year Low

Dairy product prices fell in the latest GlobalDairyTrade auction to the lowest level in more than five years, led by declines in rennet casein and skim milk powder. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

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