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

 


NZ dollar slips in light trading after Chinese services data

NZ dollar slips in light trading as Chinese services growth slows

By Paul McBeth

Jan. 6 (BusinessDesk) - The New Zealand dollar slipped as slowing growth in China’s services sector surprised investors in light trading today.

The kiwi fell to 82.56 US cents at 5pm in Wellington from 82.81 cents at 8am and 82.72 cents on Friday in New York. The trade-weighted index declined to 78.15 from 78.32 last week.

Stocks across Asia fell in Monday afternoon trading after the HSBC/Markit services sector Purchasing Managers' Index fell to 50.9 in December from 52.5 in the previous month. That’s the slowest pace of expansion in six months. China’s Shanghai Composite Index was down 2 percent at 5pm in Wellington, while Japan’s Nikkei 225 index fell 1.9 percent and Australia’s S&P/ASX 200 index dipped 0.5 percent.

“China’s service PMI was quite a drop from the previous month and the market ran and sold Aussie and kiwi,” said Imre Speizer, market strategist at Westpac Banking Corp in Auckland. “That was in thin liquidity, but we did get a small negative surprise.”

Northern Hemisphere trading rooms will start getting back to full strength when they open today after the Christmas and New Year disruptions, and Westpac’s Speizer expects the local currency will find support this week as investors look to take advantage of New Zealand’s projected interest rate hikes.

A BusinessDesk survey of 11 traders and strategists predicts the kiwi may trade between 81.20 US cents and 84.50 cents this week, with US employment figures likely to be the major event on Friday in Washington. Nine expect the currency to rise while one says it will be unchanged and one expects a decline.

The kiwi fell from a six-year high 86.90 yen earlier today, trading at 86.70 yen at 5pm in Wellington, unchanged from the New York close.

The New Zealand dollar fell to 92.27 Australian cents from 92.52 cents on Friday in New York, and slipped to 60.78 euro cents from 60.90 cents last week. It traded at 50.45 British pence from 50.42 pence on Friday.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: Fonterra Slashes 2015 Milk Payout, Earnings Tumble 76%

Fonterra Cooperative Group cut its forecast 2015 milk price payout by about 12 percent, citing weaker global dairy prices and said there is a risk of further declines given strong global milk production. More>>

ALSO:

Scoop Business: RBNZ Keeps OCR At 3.5%, Signals Slower Pace Of Future Hikes

Reserve Bank governor Graeme Wheeler kept the official cash rate at 3.5 percent and signalled he won’t be as aggressive with future rate hikes as previously thought as inflation remains tamer than expected. The kiwi dollar fell to a seven-month low. More>>

ALSO:

Weather: Dry Spells Take Hold In South Island

Many areas in the South Island are tracking towards record dry spells as relatively warm, dry weather that began in mid-August continues... for some South Island places, the current period of fine weather is quite rare. More>>

ALSO:

Scoop Business: Productivity Commission To Look At Housing Land Supply

The Productivity Commission is to expand on its housing affordability report with an investigation into improving land supply and development capacity, particularly in areas with strong population growth. More>>

ALSO:

Forestry: Man Charged After 2013 Death

Levin Police have arrested and charged a man with manslaughter in relation to the death of Lincoln Kidd who was killed during a tree felling operation on 19 December 2013. More>>

ALSO:

Smells Like Justice: Dairy Company Fined Over Odour

Dairy company fined over odour Dairy supply company Open Country Dairy Limited has been convicted and fined more than $35,000 for discharging objectionable odour from its Waharoa factory at the time of last year’s ”spring flush” when milk supply was high. More>>

Scoop Business: Dairy Product Prices Decline To Lowest Since July 2012

Dairy product prices dropped to the lowest level since July 2012 in the latest GlobalDairyTrade auction, led by a slump in rennet casein and butter milk powder. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand

Mosh Social Media
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news