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

 


NZ dollar edges up as central bank meetings loom

NZ dollar edges up as central bank meetings loom, emerging markets calmer

By Paul McBeth

Jan. 29 (BusinessDesk) - The New Zealand dollar rose as fears over emerging markets fell, fuelling demand for risk-sensitive assets such as the kiwi, and ahead of the Reserve Bank of New Zealand and US Federal Reserve policy reviews tomorrow.

The kiwi increased to 82.81 US cents at 5pm in Wellington from 82.59 cents at 8am and 82.75 cents yesterday. The trade-weighted index rose to 78.37 from 78.20 yesterday.

Global stock markets rallied and investors returned to riskier assets after fears over some developing economies subsided, with Turkey’s central bank hiking interest rates to quell a sell-off of Turkish lira.

That comes ahead of the Federal Open Market Committee meeting, which is expected to see the Fed trim another US$10 billion from its US$75 billion monthly asset purchase programme, and New Zealand’s central bank meeting, which has divided markets on whether governor Graeme Wheeler will raise interest rates at this review or the next.

“Only if we get a hike will it be good for the kiwi,” said Imre Speizer, market strategist at Westpac Banking Corp in Auckland. “The signal to March (for a rate hike) might pull the kiwi back a bit, and no signal will see it fall sharply.”

Westpac’s Speizer said the local currency may test the upside of its recent range between 82.20 US cents and 83 cents on the upbeat sentiment.

New Zealand’s economy and the government’s books got the seal of approval from Moody’s Investors Service today, with the rating agency saying both were improving after a prolonged, albeit mild, recession and the spate of earthquakes in 2010 and 2011. New Zealand is rated ‘Aaa’ by Moody’s.

The New Zealand dollar was unchanged from 94.06 Australian cents yesterday, and gained to 85.46 yen from 84.93 yen. It edged up to 60.66 euro cents from 60.48 cents, and increased to 49.95 British pence from 49.79 pence yesterday.

(BusinessDesk)


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Prefu Roundup: Forecasts Revised, Surplus Intact

The National government heads into the election with its Budget surplus target broadly intact, delivering a set of economic and fiscal forecasts marginally revised from May to reflect weaker commodity prices and a lower tax take. More>>

ALSO:

Convention Centre: Major New SkyCity Hotel And Laneway For Auckland

Today SKYCITY Entertainment Group Limited revealed plans to build a new hotel and pedestrian laneway of bars, restaurants and boutique shopping on land it owns in the Nelson and Hobson Streets block, expanding the SKYCITY Entertainment Precinct. More>>

ALSO:

Igniting The Spark: Bringing The Digital Enabler To Life

Changing a name is, relatively speaking, the easy part of a re-invention. Changing a culture, getting all the ducks in a row, turning yourself inside-out to become customer-inspired is a much bigger challenge. More>>

ALSO:

Ebola And NZ: Targeted Screening At Airport But Risk Low

The risk of any cases of Ebola in New Zealand remains very low, but health and border authorities are well prepared... anyone arriving in New Zealand who in the last three weeks has visited countries affected will be screened for symptoms of the disease. More>>

ALSO:

Scoop Business: Brewer Seeking Crowd-Funding Cancels Shareholders’ Dividends

Shareholders in Renaissance Brewing company, the first business to seek equity through crowd-funding in New Zealand, have cancelled their claim on $147,000 of accumulated earnings “to make Renaissance a more attractive investment opportunity.” More>>

ALSO:

It's Spark Now:
Why Telecom Wanted To Change

New Zealand led the world when Chorus demerged from Telecom. It gave us a telecommunications industry structure where the network is completely separated from the products and services it delivers. The changes brought about a new market dynamic and it dramatically changed Telecom’s role. More>>

ALSO:

Glass Half Empty: Dairy Prices Fall To Lowest Since 2012

Dairy product prices slumped to the lowest level since October 2012 in the latest GlobalDairyTrade auction, paced by whole milk powder and cheddar. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

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