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

 


NZD little changed this week as Fed spurs greenback demand

NZ dollar little changed this week as Fed spurs greenback demand

By Paul McBeth

March 21 (BusinessDesk) - The New Zealand dollar is almost unchanged this week after the Federal Reserve’s growing optimism on the strength of the US economy spurred demand for the greenback.

The kiwi traded at 85.32 US cents at 5pm in Wellington from 85.34 cents at the close of trading in New York last week. It traded at 85.31 cents at 8am and 85.27 cents yesterday. The trade-weighted index was little changed at 79.96 from 79.90 yesterday and 79.81 at last week’s close.

A BusinessDesk survey of nine traders and strategists on Monday predicted the local currency would trade between 83.40 US cents and 86.50 cents this week. Six predicted the kiwi would decline this week, one expected an increase and two saw it largely unchanged.

The Fed yesterday signalled US interest rates may rise faster than traders were anticipating as the world’s largest economy improves. In her first meeting as chair Janet Yellen told a press briefing rates might rise about six months after the asset purchase programme ended.

While the Fed’s moves were positive for the greenback, New Zealand’s currency held up with local data affirming the strength of the economy, which grew 0.9 percent in the three months ended Dec. 31. Government figures today showed annual inbound net migration at a decade high, while ANZ data showed upbeat consumer confidence.

“There’s nothing to suggest the New Zealand side of the story is going to look weak,” said Sam Tuck, senior FX strategist at ANZ Bank New Zealand. “That should keep the kiwi in demand on any dips.”

Traders will be watching early manufacturing indicators next week in China, Europe and the US for leads on how the global economy is tracking.

The local currency traded at 87.31 yen at 5pm in Wellington from 87.26 yen yesterday and fell to 94.17 Australian cents from 94.54 cents. It gained to 61.90 euro cents from 61.64 cents yesterday, and increased to 51.67 British pence from 51.54 pence.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Media: Fairfax Moves To Create Modern Newsroom

Fairfax Media New Zealand continues its newsroom transformation this week, with a proposal to further organise its editorial operations into focused, local teams and specialist national topic areas. More>>

ALSO:

Dairy: Fonterra Forecast For 2015/16 Season

Fonterra Co-operative Group Limited has today reduced its forecast Farmgate Milk Price for the 2014/15 season to $4.40 per kgMS. Along with its previously announced forecast dividend range of 20-30 cents per share, the change amounts to a forecast ... More>>

ALSO:

BusinessDesk: SkyCity Lifts Minimum Convention Centre Investment To $430M

SkyCity Entertainment Group, the casino operator, has lifted the minimum it will invest in the Auckland International Convention Centre to $430 million and said total costs including land may be $450 million to $470 million. More>>

Statistics: Drop In Dairy Prices Leads Fall In Exports

Total goods exports fell $240 million (5.5 percent) to $4.2 billion in April 2015 compared with April 2014, Statistics New Zealand said today. More>>

BusinessDesk: APN's NZME Sees Future In Paywalls, Growth In Digital Sales

APN News & Media has touted a single newsroom concept for its NZME unit in New Zealand, similar to what Germany's Die Welt uses, saying an 'integrated sales proposition' is helping it win market share, including ... More>>

Labour Party: Global Milk Prices Now Lowest In 6 Years

The latest fall in the global dairy price has brought it to the lowest level in six years and shows there must be meaningful action in tomorrow’s Budget to diversify the economy, says Labour’s Finance spokesperson Grant Robertson. “Dairy prices ... More>>


BusinessDesk: NZ Inflation Expectations Creep Higher In June Survey

May 19 (BusinessDesk) - New Zealand businesses lifted their expectations for inflation over the next two years, sapping any immediate pressure on the Reserve Bank to cut interest rates, and prompting the kiwi dollar to jump higher. More>>

BusinessDesk: Lower Fuel Costs Drive Down NZ Producer Input, Output Prices

May 19 - Producer input and output prices fell in the first quarter, mainly reflecting lower fuel costs and weakness in prices of meat and dairy products. More>>

Media: Fairfax Media NZ Announces Senior Editorial Team

Fairfax Media New Zealand has today confirmed its new editorial leadership team, as part of a transformation of its newsrooms aimed at enhancing local and national journalism across digital and print. More>>

Science: Flavonoids Reduce Cold And Cough Risk

Flavonoids reduce cold and cough risk Research from the University of Auckland shows eating flavonoids – found in green tea, apples, blueberries, cocoa, red wine and onions – can significantly reduce the risk of catching colds and coughs. The research, ... More>>

BusinessDesk: RBNZ House Alert Speech The Catalyst For Government Action

Prime Minister John Key all but conceded that pressure from the Reserve Bank of New Zealand for concerted action on rampant Auckland house prices was one of the main catalysts for the government's weekend announcements about tightly ... More>>

BusinessDesk: How To Fall Foul Of The New Housing Tax Rules: Tips From IRD

Just because you rented out your investment property doesn't absolve you from paying tax, says the Inland Revenue Department in a summary of commonly made mistakes by non-professional property investors when it comes to their tax liability.More>>

Legal: Superdiversity Law, Policy And Business Stocktake Announced

Mai Chen, Managing Partner at Chen Palmer New Zealand Public and Employment Law Specialists and Adjunct Professor of Law at the University of Auckland, today announced the establishment ... More>>

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news