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

 


NZ dollar gains after Putin changes tack on Ukraine

NZ dollar gains after Putin changes tack on Ukraine, Australian GDP beats expectations

By Paul McBeth

March 5 (BusinessDesk) - The New Zealand dollar rose after investors regained some confidence when Russian President Vladimir Putin toned down his rhetoric over the Crimean Peninsula, and after Australia’s economy grew more than expected in the fourth quarter.

The kiwi rose to 83.94 US cents at 5pm in Wellington from 83.73 cents at 8am, up from 83.64 cents yesterday. The trade-weighted index increased to 78.87 from 78.60 yesterday.

Stocks across Asia followed Europe and Wall Street higher after Russia’s Putin told a news conference he saw no need to use military force in Ukraine’s Crimea region for now. The prospect of an invasion sapped investors’ appetite for risk-sensitive assets.

“The market might try to take it (the kiwi) a bit more to the upside, but it depends on Mr Putin in the near-term,” said Imre Speizer, market strategist at Westpac Banking in Auckland. “I’ve got a slightly positive bias overall.”

Westpac’s Speizer said traders will be watching US employment figures on Friday in Washington, and they may be weather-affected by the harsh winter conditions. A softer US labour market would support the kiwi against the greenback, he said.

Australia’s economy grew 0.8 percent in the December quarter, ahead of the 0.7 percent growth forecast, as households increased spending and cut saving in a low interest rate environment. The kiwi traded at 93.70 Australian cents at 5pm in Wellington from 93.67 cents yesterday.

New Zealand government figures showed local construction activity shrank 1 percent in the December quarter as commercial work tapered off, while residential house-building remained strong.

Dairy prices fell 4 percent on a trade-weighted basis, with a 5.7 percent slide in the price of whole milk powder on Fonterra Cooperative’s GlobalDairyTrade auction.

The local currency climbed to 85.76 yen at 5pm in Wellington from 84.98 yen yesterday, and advanced to 61.13 euro cents from 60.91 cents. It increased to 50.35 British pence from 50.21 pence yesterday.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: Alex Swney Pleads Guilty To $2.5M Fraud Charge

Alex Swney, former chief executive of the Auckland city centre business association Heart of the City, has pleaded guilty to dishonestly using documents to obtain $2.5 million. More>>

ALSO:

Petrol Burns Prices: Second Consecutive Quarterly Fall For CPI

The consumers price index (CPI) fell 0.3 percent in the March 2015 quarter, following a 0.2 percent fall in the December 2014 quarter, Statistics New Zealand said today. The last time the CPI showed two consecutive quarterly falls was in the December 1998 and March 1999 quarters. More>>

ALSO:

Scoop Business: NZ Broadcasters Launch Battle Against Global Mode ISPs

New Zealand broadcasters have confirmed they’ve launched legal proceedings against internet service providers who give customers’ access to “global mode”, which allows customers access to offshore online content, claiming it breaches the local content providers’ copyright. More>>

ALSO:

Sanford: Closure Of Christchurch Mussel Processing Plant Confirmed

The decision comes after a period of consultation with the 232 staff employed at the Riccarton site, who were told on 9 April that Sanford was considering the future of mussel processing in Christchurch. Recent weather patterns had impacted on natural spat (offspring) supply... More>>

ALSO:

Price Of Cheese: Dairy Product Prices Fall To The Lowest This Year

Dairy product prices fell in the latest GlobalDairyTrade auction, hitting the lowest level in the 2015 auctions so far, as prices for milk powder and butter slid amid concern about the outlook for commodities. More>>

ALSO:

Houston, We Have An Air Route: Air New Zealand To Fly Direct To The Heart Of Texas

Air New Zealand will fly its completely refitted Boeing 777-200 aircraft between Auckland and Houston up to five times a week opening up the state of Texas as well as popular nearby tourist states such as Louisiana and Florida. More>>

ALSO:

Scoop Business: Reserve Bank’s Spencer Calls On Govt To Rethink Housing Tax

The Reserve Bank has urged the government to take another look at a capital gains tax on investment in housing, allow increased high-density development and cut red tape for planning consents to address an over-heated Auckland property market. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news