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.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Science Investment Plan: Universities Welcome Statement

Universities New Zealand has welcomed the National Statement of Science Investment released by the Government today... this is a critical document as it sets out the Government’s ten-year strategic direction that will guide future investment in New Zealand’s science system. More>>


Scouring: Cavalier Merger Would Extract 'Monopoly Rents' - Godfrey Hirst

A merger of Cavalier Wool Holdings and New Zealand Wool Services International's two wool scouring operations would create a monopoly, says carpet maker Godfrey Hirst. The Commerce Commission on Friday released its second draft determination on the merger, maintaining its view that the public benefits would outweigh the loss of competition. More>>


Scoop Review Of Books: She Means Business

As Foreman says in her conclusion, this is a business book. It opens with a brief biographical section followed by a collection of interesting tips for entrepreneurs... More>>


Hourly Wage Gap Grows: Gender Pay Gap Still Fixed At Fourteen Percent

“The totally unchanged pay gap is a slap in the face for women, families and the economy,” says Coalition spokesperson, Angela McLeod. Even worse, Māori and Pacific women face an outrageous pay gap of 28% and 33% when compared with the pay packets of Pākehā men. More>>


Housing: English On Housing Affordability And The Economy

"Long lead times in the planning process tend to drive prices higher in the upswing of the housing cycle. And those lead times increase the risk that eight years later, when additional supply arrives, the demand shock that spurred the additional supply has reversed. The resulting excess supply could produce a price crash..." More>>


Sweet Health: Sugary Drinks Banned From Hospitals And Health Boards

All hospitals and DHBs are expected to kick sugary drinks out of their premises. University of Auckland researcher, Dr Gerhard Sundborn who also heads public health advocacy group “FIZZ”, says he welcomes the initiative. More>>


NASA: Evidence Of Liquid Water On Today's Mars

Using an imaging spectrometer on MRO, researchers detected signatures of hydrated minerals on slopes where mysterious streaks are seen on the Red Planet. These darkish streaks appear to ebb and flow over time. More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news