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

 


NZ dollar touches 8-yr high vs. AUD before jobs data

NZ dollar touches 8-year high vs. Aust. dollar before jobs data across the Tasman

By Paul McBeth

Jan. 16 (BusinessDesk) - The New Zealand dollar touched an eight-year against its trans-Tasman counterpart ahead of Australia employment figures, which will give investors another update on how that economy is tracking.

The kiwi rose as high as 93.96 Australian cents, the highest since December 2005, and traded at 93.51 cents at 8am in Wellington from 93.40 cents yesterday. The local currency was little changed at 83.32 US cents from 83.36 cents yesterday.

Australia’s unemployment rate was unchanged at 5.8 percent as 7,500 jobs were added in December, according to a Reuters survey of economists. Investors are gauging the impact of the Reserve Bank of Australia’s rate cuts last year as the nation’s economy slows down amid dwindling demand for its hard commodity exports. That’s at odds with the gathering momentum in New Zealand, and seen the kiwi become a favourite among investors.

“If we get a stronger Australian jobs number, the Aussie could definitely spike back up again,” said Tim Kelleher, head of institutional FX sales NZ at ASB Institutional in Auckland, referring to the Australian dollar colloquially.

The kiwi has failed to break above 94 Australian cents twice this week, and Kelleher said he expects traders to wait until the Reserve Bank of New Zealand policy meeting at the end of the month if they decide to take it lower.

The Dollar Index, a measure of the greenback against a basket of currencies, rose to 81.04 from 80.85 yesterday as US manufacturing figures the Federal Reserve’s Beige Book painted a better picture of the world’s biggest economy. Traders were spooked by a weak December employment reading last week, which spurred fears the Fed might not pull back on its stimulus programme as quickly as anticipated.

ASB’s Kelleher said the kiwi still trading in its range of between 81 US cents and 84 cents, and will probably find support at 83.50 cents today.

“The kiwi’s still outperforming on some of the cross – the kiwi/sterling, kiwi/euro, kiwi/yen – and it’s the cross that’s holding it up,” Kelleher said.

The local currency edged up to 97.18 yen at 8apm in Wellington from 87 yen yesterday, and was little changed at 61.29 euro cents from 61.13 cents yesterday. It increased to 50.92 British pence from 50.76 pence yesterday. The trade-weighted index was little changed at 78.94 from 78.87 yesterday.

(BusinessDesk)

© 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