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

 


NZ dollar drifts lower in thin overnight trading

NZ dollar drifts lower in thin overnight trading as US markets closed

By Tina Morrison

Feb 18 (BusinessDesk) – The New Zealand dollar drifted lower overnight in thin trading as US markets were closed for a public holiday.

The kiwi fell to 83 59 US cents at 8am in Wellington from 83.72 cents at 5pm yesterday in light trading during the Presidents’ Day holiday. The trade-weighted index was unchanged at 78.40.

“Over a largely quiet overnight session, the New Zealand dollar drifted lower along in tandem with the Australian dollar, with no clear drivers at play,” Bank of New Zealand currency strategist Raiko Shareef said in a note. “The Reserve Bank of Australia (board) minutes are due this afternoon, which may provide some direction for the New Zealand dollar.”

The Australian dollar has strengthened about 3 percent against the US dollar so far this month as the RBA dropped its bias towards easing interest rates and softened its comments about the strength of the nation’s currency. New information from the minutes may be limited because the central bank released its Statement of Monetary Policy last week.

The New Zealand dollar advanced 92.51 Australian cents from 92.44 cents yesterday ahead of the release of the February minutes at 1:30pm.

In the US, the main focus tonight will be the New York Empire manufacturing survey and the National Association of Home Builders housing sentiment index.

“Any weakness would lead to US dollar selling,” ANZ Bank senior economist Mark Smith and senior FX strategist Sam Tuck said in a note.

The kiwi slipped to 60.95 euro cents from 61.05 cents and advanced to 50.02 British pence from 49.85 pence ahead of the release of the UK’s January inflation figures.

The New Zealand dollar rose to 85.17 yen from 85.03 yen yesterday after a report showed Japan’s economy grew at an annual 1 percent pace in the final quarter of 2013, less than the 2.8 percent pace expected, boosting speculation the central bank may add more stimulus which weakens the currency. Still, the Bank of Japan isn’t expected to change policy when it meets today, ANZ said.

(BusinessDesk)


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: Leighton-Led WGP To Build, Manage Transmission Gully

The Wellington Gateway Partnership, led by a unit of ASX-listed Leighton Holdings, has won the $1 billion contract to build the Transmission Gully road north of Wellington. More>>

ALSO:

Gareth Morgan: The Government’s Fresh Water Policy – Revisited

Fresh water quality is the latest area to be in the sights of Gareth Morgan and his research organisation The Morgan Foundation... They found that the fresh water policy was a bit murkier than the Environment Minister let on. More>>

ALSO:

Interest Rates: RBNZ Hikes OCR To 3.5%, ‘Period Of Assessment’ Now Needed

Reserve Bank governor Graeme Wheeler raised the official cash rate as expected, while signalling a pause in rate hikes to assess the impact of moves so far this year. The kiwi dollar sank after Wheeler said its strength was “unjustified” and that the currency could have “a significant fall.” More>>

ALSO:

Fonterra: Canpac Site 'Resize' To Focus More On Paediatrics

Fonterra is looking at realigning its packing operations at Canpac, in the Waikato, to focus more on paediatric nutritionals... The proposed changes could mean around 110 roles may not be required at the site which currently employs 330. More>>

ALSO:

Scoop Business: Postie Plus Brand Gets 2nd Chance With Well-Funded Pepkor

The Postie Plus brand is getting a new lease of life after South Africa’s Pepkor bought the failed retailer’s assets out of administration and said it will use its purchasing power to reduce costs of stock and fatten margins. More>>

ALSO:

Warming: Warming Signs From State Of Climate Report

Climate data from air, land, sea and ice in 2013 'reflect trends of a warming planet' -- says the latest State of the Climate report, launched by U.S. and New Zealand scientists. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

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