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

 


NZ dollar falls after trade figures meet expectations

NZ dollar falls after trade figures meet expectations, US data looms

By Paul McBeth

April 29 (BusinessDesk) - The New Zealand dollar fell as upbeat local trade figures met analysts’ expectations and ahead of a US consumer confidence survey in the run-up to this week’s Federal Reserve policy review.

The kiwi traded at 85.25 US cents at 5pm in Wellington from 85.28 cents at 8am, down from 85.75 cents yesterday. The trade-weighted index declined to 79.33 from 79.78 yesterday.

New Zealand’s annual trade surplus widened to $805 million as Chinese demand for dairy products helped drive a record $50.06 billion of exports in the 12-month period. That helped support the kiwi dollar ahead of US consumer confidence, which is expected to show improving sentiment in the world’s biggest economy ahead of the Federal Open Market Committee’s policy announcement on Wednesday in Washington.

“The trade balance was pretty much as expected,” said Nick Tvedt, senior corporate FX dealer at HiFX in Auckland. “85.20 (US cents) has decent support (for the kiwi) for the time being – it may have done enough to attract some buyers out of the woodwork.”

Reserve Bank of New Zealand figures showed its high loan-to-value ratio restrictions on mortgages helped slow new low-deposit lending and has reduced house price inflation.

Traders largely ignored an Opposition Labour Party policy announcement planning to overhaul the Reserve Bank Act if it wins this year’s general election. The party would task the bank to add the nation’s external balance to its mandate, while providing a new lever to tweak compulsory savings contributions rather than wholesale interest rates as a policy response.

The kiwi fell to 61.48 euro cents at 5pm in Wellington from 62.03 cents yesterday ahead of the release of European inflation figures.

The local currency fell to 87.36 yen from 87.60 yen yesterday with Japanese banks closed today in observance of Showa Day.

The kiwi fell to 92.18 Australian cents from 92.36 cents yesterday, and dropped to 50.69 British pence from 51.07 pence.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Half A Billion Accounts: Yahoo Confirms Huge Data Breach

The account information may have included names, email addresses, telephone numbers, dates of birth, hashed passwords (the vast majority with bcrypt) and, in some cases, encrypted or unencrypted security questions and answers. More>>

Rural Branches: Westpac To Close 19 Branches, ANZ Looks At 7

Westpac confirms it will close nineteen branches across the country; ANZ closes its Ngaruawahia branch and is consulting on plans to close six more branches; The bank workers union says many of its members are nervous about their futures and asking ... More>>

Interest Rates: RBNZ's Wheeler Keeps OCR At 2%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2 percent and said more easing will be needed to get inflation back within the target band. More>>

ALSO:

Half Full: Fonterra Raises Forecast Payout As Global Supply Shrinks

Fonterra Cooperative Group, the dairy processor which will announce annual earnings tomorrow, hiked its forecast payout to farmers by 50 cents per kilogram of milk solids as global supply continues to decline, helping prop up dairy prices. More>>

ALSO:

Results:

Meat Trade: Silver Fern Farms Gets Green Light For Shanghai Maling Deal

The government has given the green light for China's Shanghai Maling Aquarius to acquire half of Silver Fern Farms, New Zealand's biggest meat company, with ministers satisfied it will deliver "substantial and identifiable benefit". More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news