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

 


NZ dollar rises from three-week low after Chinese data

NZ dollar rises from three-week low after better-than-expected Chinese manufacturing data

By Paul McBeth

May. 22 (BusinessDesk) - The New Zealand dollar rose from a three-week low as better-than-expected Chinese manufacturing data lifted investors' confidence in the Australasian nations, which count the world's second-biggest economy as their biggest export market.

The kiwi rose to,85.80 US cents at 5pm in Wellington from 85.61 cents at 8am, and 85.55 cents yesterday. The trade-weighted index advanced to 79.99 from 79.71 yesterday.

The kiwi and the Australian dollar gained after the preliminary HSBC manufacturing purchasing managers' index, a gauge of Chinese manufacturing,,rose to 49.7, a five-month high. While the indicator shows the sector is still contracting, it was ahead of analysts' expectations for a print of 48.3, raising confidence the Chinese economy may avoid a sharper slowdown than initially feared.

Investors' appetite for riskier assets got a boost from minutes to the latest Federal Reserve policy meeting which said the US central bank didn't see inflation pressures which could warrant higher interest rates.

"China has obviously been a big concern for the market of late, and we saw quite decent improvement," said Sam Tuck, senior FX strategist at ANZ Bank New Zealand in Auckland. "Any good news in China is good news for us."

The kiwi will attract buyers between 85 US cents and 85.50 cents, ANZ's Tuck said. Traders will be watching manufacturing figures in the US and Europe to gauge output in those economies.

New Zealand business managers' expectations for inflation edged up a little in the Reserve Bank's survey, with firms seeing consumer prices rising 2.08 percent over the coming year and 2.36 percent in the next two, up from 2.03 percent and 2.33 percent respectively.

The kiwi was little changed at 50.80 British pence from 50.79 pence yesterday, after the pound rose to a five-and-a-half year high yesterday,when,government figures showed strong UK retail sales. The kiwi rose to 62.75 euro cents from 62.41 cents yesterday.

The local currency slipped to 92.51 Australian cents at 5pm in Wellington from 92.61 cents yesterday, and climbed to 87.28 yen from 86.53 yen.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

SOE Results: TVNZ Lifts Annual Profit 25% On Flat Ad Revenue, Quits Igloo

Television New Zealand, the state-owned broadcaster, lifted annual profit 25 percent, ahead of forecast and despite a dip in advertising revenue, while quitting its stake in the pay-TV Igloo joint venture with Sky Network Television. More>>

ALSO:

Insurers Up For More Payouts: Chch Property Investor Wins Policy Appeal In Supreme Court

Ridgecrest NZ, a property investor, has won an appeal in the Supreme Court over insurance cover provided by IAG New Zealand for a Christchurch building damaged in four successive earthquakes. More>>

ALSO:

Other Cases:

Royal Society: Review Finds Community Water Fluoridation Safe And Effective

A review of the scientific evidence for and against the efficacy and safety of fluoridation of public water supplies has found that the levels of fluoridation used in New Zealand create no health risks and provide protection against tooth decay. More>>

ALSO:

Scoop Business: Croxley Calls Time On NZ Production In Face Of Cheap Imports

Croxley Stationery, whose stationery brands include Olympic, Warwick and Collins, plans to cease manufacturing in New Zealand because it has struggled to compete with lower-cost imports in a market where the printed word is giving way to electronic communications. More>>

ALSO:

Prefu Roundup: Forecasts Revised, Surplus Intact

The National government heads into the election with its Budget surplus target broadly intact, delivering a set of economic and fiscal forecasts marginally revised from May to reflect weaker commodity prices and a lower tax take. More>>

ALSO:

Convention Centre: Major New SkyCity Hotel And Laneway For Auckland

Today SKYCITY Entertainment Group Limited revealed plans to build a new hotel and pedestrian laneway of bars, restaurants and boutique shopping on land it owns in the Nelson and Hobson Streets block, expanding the SKYCITY Entertainment Precinct. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

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