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

 

NZ dollar may face volatility as investors eye Iraq violence

NZ dollar may face volatility as investors eye escalating violence in Iraq

By Tina Morrison

June 16 (BusinessDesk) - The New Zealand dollar could decline amid volatile trading on investor concern about escalating violence in Iraq.

The kiwi was little changed at 86.68 US cents at 8am in Wellington from 86.61 cents at the New York close and 86.66 cents at 5pm in Wellington on Friday. The trade-weighted index edged up to 80.79 from 80.68 on Friday.

Brent crude oil rose to its highest in nine months on Friday as violence spread in Iraq where Prime Minister Nouri al-Maliki is seeking to regain territory held by the breakaway al-Qaeda group, the Islamic State in Iraq and the Levant, known as ISIL, whose advance put in doubt al-Maliki’s rule over a unified Iraq. The conflict threatens output in OPEC’s second-biggest crude producer. The US has dispatched an aircraft carrier to the Persian Gulf as President Barack Obama weighs options to help Maliki repel ISIL attacks.

"We are in for a rough few days with the Iraqi situation," said Martin Rudings, senior advisor at OMF. "It's a quiet start but people will be looking at the newswires and waiting for any headlines on any skirmishes that start there or any move in by the US. The kiwi is probably vulnerable to some volatility on the downside."

In New Zealand today, the Real Estate Institute is scheduled to publish its latest house price statistics for May and releases are also due on the Performance of Services Index and consumer confidence.

The New Zealand dollar was little changed at 64 euro cents from 63.92 cents on Friday, at 51.04 British pence from 51.09 pence, at 92.21 Australian cents from 91.99 cents and at 88.42 yen from 88.31 yen.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Fund For PPP Plans: Govt Embraces Targeted Rates To Spur Urban Infrastructure

The government's latest response to the Auckland housing shortage will see central government and private sector firms invest in 'special purpose vehicles' to fund essential roading, water and drains that Auckland Council can't fund without threatening its credit rating. More>>

ALSO:

Superu Report: Land Regulation Drives Auckland House Prices

Land use regulation is responsible for up to 56 per cent of the cost of an average house in Auckland according to a new research report quantifying the impact of land use regulations, Finance Minister Steven Joyce says. More>>

ALSO:

Fletcher Whittled: Fletcher Dumps Adamson In Face Of Dissatisfaction

Fletcher Building has taken the unusual step of dumping its chief executive, Mark Adamson, as the company slashed its full-year earnings guidance and flagged an impairment against Australian assets. More>>

ALSO:

No More Dog Docking: New Animal Welfare Regulations Progressed

“These 46 regulations include stock transport, farm husbandry, companion and working animals, pigs, layer hens and the way animals are accounted for in research, testing and teaching.” More>>

ALSO:

Employment: Most Kiwifruit Contractors Breaking Law

A Labour Inspectorate operation targeting the kiwifruit industry in Bay of Plenty has found the majority of labour hire contractors are breaching their obligations as employers. More>>

ALSO: