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

 


Traders’ Indecisive Ahead of the FED

Traders’ Indecisive Ahead of the FED

By Tim Waterer (Senior Trader, CMC Markets)

The Australian market traded indecisively today ahead of some key offshore events, namely the testimony of Bernanke before Congress as well as the release of the Fed minutes. The ASX200 started well before reversing course with traders seemingly a little unsure as to where to be positioned as we await the latest clues from the FOMC on the future of asset purchases.

Materials stocks performed quite well on the local market while the major banks were on the decline, however overall there was a directionless feel about the market today. Perhaps also contributing to the market pullback from the earlier highs was the release of the surprisingly weak consumer sentiment data. This release definitely impact the AUDUSD rate today with the Aussie losing around one third of a cent against the greenback on the soft sentiment reading.

Overall it was a mixed performance by markets across Asia today, The Nikkei soared again after the BOJ meeting however elsewhere other indices were rather more reserved in anticipation of an update on the state of play by Bernanke. I would expect that the Fed Chairman will be balanced in his testimony given that the US economic recovery is a constantly evolving landscape, and as such the flexible approach to the future path of QE will likely be maintained by Bernanke.

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Interest Rates: Wheeler Hikes OCR To 3% On Inflationary Pressures, Eyes Kiwi

Reserve Bank governor Graeme Wheeler lifted the official cash rate for the second time in as many months, saying non-tradable inflationary pressures were "becoming apparent" in an economy that’s picking up pace and he's watching the impact of a strong kiwi dollar on import prices. More>>

ALSO:

Scoop Business: Equity Crowd Funding Carries Risks, High Failure Rate

Equity crowd funding, which became legal in New Zealand this month, comes with a high risk of failure based on figures showing existing forays into social capital have a success rate of less than 50 percent, one new entrant says. More>>

ALSO:

Scoop Business: NZ Migration Rises To 11-Year High In March

The country gained a seasonally adjusted 3,800 net new migrants in March, the most since February 2003, said Statistics New Zealand. A net 400 people left for Australia in March, down from 600 in February, according to seasonally adjusted figures. More>>

ALSO:

Hugh Pavletich: New Zealand’s Bubble Economy Is Vulnerable

The recent Forbes e-edition article by Jesse Colombo assesses the New Zealand economy “ 12 Reasons Why New Zealand's Economic Bubble Will End In Disaster ”, seems to have created quite a stir, creating extensive media coverage in New Zealand. More>>

ALSO:

Thursday Market Close: Genesis Debut Sparks Energy Rally

New Zealand stock rose after shares in the partially privatised Genesis Energy soared as much as 18 percent in its debut listing on the NZX, buoying other listed energy companies in the process. Meridian Energy, MightyRiverPower, Contact Energy and TrustPower paced gains. More>>

ALSO:

Power Outages, Roads Close: Easter Storm Moving Down Country

The NZ Transport Agency says storm conditions at the start of the Easter break are making driving hazardous in Auckland and Northland and it advises people extreme care is needed on the regions’ state highways and roads... More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news