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

 


NZ dollar advances as US employment data disappoints

NZ dollar advances as US employment data disappoints, risk appetite returns

By Tina Morrison

Feb. 10 (BusinessDesk) – The New Zealand dollar advanced after a key US employment report pointed to a weaker economy than expected and as risk appetite returned to the market.

The kiwi touched 84.95 yen over the weekend, its highest level this year, and was trading at 84.81 yen at 8am in Wellington from 83.89 yen at 5pm on Friday. The local currency was at 82.83 US cents, from 82.90 cents at the New York close and 82.27 cents at 5pm in Wellington on Friday.

Investors are looking ahead to tomorrow night’s testimony by new Federal Reserve Chair Janet Yellen amid speculation it may be more dovish than previously anticipated after a report in the US on Friday showed the US added 113,000 nonfarm payrolls in January, less than the 185,000 expected. Meantime, concern about emerging markets is abating, turning investor attention to risk-sensitive currencies such as the kiwi and away from safe havens like the yen.

“The NZD/USD has benefitted from a general improvement in risk appetite, and more specifically from a soft USD on Friday night,” Kymberly Martin, markets strategist at Bank of New Zealand, said in a note. “Generally, risk appetite has begun to return to markets as emerging market ructions have moved out of the spotlight as emerging markets have stabilised. This has helped appetite for ‘risk sensitive’ currencies such as the NZD return, at the expense of currencies such as the JPY.”

Today, Japanese reports are due on the current account and consumer confidence.

The New Zealand dollar rose to 92.39 Australian cents from 91.95 cents in Wellington on Friday ahead of tomorrow’s report on Australian business confidence.

The local currency advanced to 60.77 euro cents from 60.52 cents on Friday, and increased to 50.47 British pence from 50.39 pence. The trade-weighted index rose to 78.16 from 77.61 last week.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

What Winter? Temperature Records Set For June 20-22

The days around the winter soltice produced a number of notably warm tempertaures. More>>

Conservation Deal: New Kākāpō Recovery Partnership Welcomed

Conservation Minister Maggie Barry says the new kakapo recovery partnership between DOC and Meridian Energy is great news for efforts to save one of New Zealand’s most beloved birds. More>>

ALSO:

Tech Sector Report: Joyce Warns Asian Tech Investors View NZ As Hobbits And Food

Speaking in Wellington at the launch of a report showcasing the value of the technology sector to the New Zealand economy, Joyce said more had to be done to tell the country's technology stories overseas. More>>

ALSO:

Mediaglommeration: APN Gets OIO Approval For Demerger Plan

APN News & Media has received Overseas Investment Office approval for its plan to split out its NZME unit ahead of a potential merger with rival Fairfax Media's New Zealand operations. More>>

New Paper: Ninety-Day Trial Period Has No Impact On Firms' Hiring

The introduction of a 90-day trial period has had no impact on hiring by New Zealand companies although they are now in widespread use, according to researchers at Motu Economic and Public Policy Research. More>>

ALSO:

Corrections: Serco Exits Equity Stake, Remains As Operator

Serco has sold its equity stake in the company that holds the contract to design, build and run Wiri Prison in South Auckland but continues as sub-contractor to operate the facility. More>>

GDP: NZ Economy Grows Faster-Than-Forecast 0.7%

New Zealand's economy grew at a faster pace than expected in the first quarter of 2016 as construction expanded at the quickest rate in two years. The kiwi dollar jumped after the data was released. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news