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

 


NZ dollar slips vs. yen as investors favour haven currency

NZ dollar slips against yen as investors favour haven currency on concern about yuan decline

By Tina Morrison

Feb. 26 (BusinessDesk) – The New Zealand dollar slipped against the yen as investors favoured the safe haven currency amid concern a decline in China’s yuan which may signal growth in Asia’s largest economy is slowing.

The kiwi slipped to 85.14 yen at 8am in Wellington from 85.42 yen at 5pm yesterday. The local currency was almost unchanged at 83.32 US cents from 83.33 cents yesterday.

China’s yuan fell about 0.5 percent against the US dollar yesterday, its biggest decline in more than three years, amid speculation China’s central bank wants to end to the currency’s steady appreciation and allow it to trade in a wider band. The yuan is more than 1 percent weaker over the past week, raising concern it may hurt property developers who have borrowed in dollars, and contribute to a slowing in the property market.

“This sort of volatility is unheard of for the tightly-controlled currency and has analysts speculating that the People’s Bank of China is attempting to shake out speculative activity,” Bank of New Zealand currency strategist Raiko Shareef said in a note. “Whatever the reason, the JPY has benefitted from investors seeking relative safety.”

Today, Finance Minister Bill English is expected to release details of the share market float of state-owned Genesis Energy at a speech to the Auckland Chamber of Commerce.

In Australia, traders will be eyeing data on fourth quarter construction activity, which feed into GDP, while the US has new home sales for January.

The New Zealand dollar was little changed at 92.32 Australian cents from 92.33 cents yesterday, at 60.63 euro cents from 60.66 cents, and at 49.95 British pence from 50 pence. The trade-weighted index was little changed at 78.16 from 78.20 yesterday.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Strike: Lyttelton Port Workers Vote To Escalate Dispute

Members of the Rail and Maritime Transport Union (RMTU) at Lyttelton Port today voted to escalate their industrial action. Around 200 RMTU members have been operating an overtime ban since 17 December and today they endorsed a series of full withdrawals of labour at the port. More>>

ALSO:

Scoop Business: NZ Dollar Falls To 3-Year Low As Investors Favour Greenback

The New Zealand dollar fell to its lowest in more than three years as investors sold euro and bought US dollars, weakening other currencies against the greenback. More>>

ALSO:

Scoop Business: NZ Govt Operating Deficit Smaller Than Expected

The New Zealand’s government’s operating deficit was smaller than expected in the first five months of the financial year as a clampdown on expenditure managed to offset a shortfall in the tax-take from last month’s forecast. More>>

ALSO:

0.8 Percent Annually:
NZ Inflation Falls Below RBNZ's Target

New Zealand's annual pace of inflation slowed to below the Reserve Bank's target band in the final three months of the year, giving governor Graeme Wheeler more room to keep the benchmark interest rate lower for longer.More>>

ALSO:

NASA, NOAA: Find 2014 Warmest Year In Modern Record

Since 1880, Earth’s average surface temperature has warmed by about 1.4 degrees Fahrenheit (0.8 degrees Celsius), a trend that is largely driven by the increase in carbon dioxide and other human emissions into the planet’s atmosphere. The majority of that warming has occurred in the past three decades. More>>

ALSO:

Scoop Business: New Zealand’s Reserve Bank Named Central Bank Of The Year

The Reserve Bank of New Zealand’s efforts to stifle house price inflation by using new policy tools has seen the institution named Central Bank of the year by Central Banking Publications, a publisher specialising in global central banking practice. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

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