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

 


NZ dollar gains as sentiment wanes after Independence Day

NZ dollar gains as traders push down greenback on return from holidays

By Tina Morrison

July 8 (BusinessDesk) - The New Zealand dollar advanced on a weaker greenback as sentiment waned after US traders returned to work following the Independence Day holiday on Friday.

The kiwi rose to 87.58 US cents at 8am in Wellington from 87.19 cents yesterday. The trade-weighted index gained to 81.49 from 81.21 yesterday.

In late afternoon trading in New York, the Dow Jones Industrial Average fell 0.37 percent, the Standard & Poor’s 500 index shed 0.42 percent, while the Nasdaq Composite Index slumped 0.72 percent. Both the Dow and the S&P 500 had ended July 3 with record closing highs, while markets were closed on July 4 for the Independence Day holiday. Some analysts are adjusting their forecasts for US interest rates following last week’s better-than-expected government jobs report

"The greenback is weaker," said Imre Speizer, senior market strategist at Westpac Banking Corp in New Zealand. "Americans came back from holidays in a pessimistic mood and pushed down interest rates, pushed down equities, pushed down their dollar."

The kiwi will probably remain in its recent 87.15 US cent to 87.85 cent range today, Speizer said.

Today, traders will be eyeing the New Zealand Institute of Economic Research second quarter survey of business opinion scheduled for release at 10am, which is expected to show some softness, Speizer said.

Reserve Bank of New Zealand governor Graeme Wheeler spoke to a business audience in Auckland this morning, and will deliver another speech tomorrow morning. The speeches won't be released publicly.

The New Zealand dollar advanced to 93.38 Australian cents from 93.14 cents yesterday ahead of the release of NAB business confidence survey for June, scheduled for 1:30pm New Zealand time.

The kiwi gained to 64.36 euro cents from 64.17 cents yesterday after a report showed German industrial output slid for a third month in May.

The local currency increased to 51.11 British pence from 50.85 pence yesterday and advanced to 89.21 yen from 89.01 yen.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Finance: Major Campaign To End "Gross Overtaxation Of Savings"

The campaign – which includes a special web site through which New Zealanders can e-mail their own and other MPs and party leaders – is backed by Age Concern, Consumer NZ, the Financial Services Council and the Taxpayers’ Union. More>>

ALSO:

Scoop Business: Leighton-Led WGP To Build, Manage Transmission Gully

The Wellington Gateway Partnership, led by a unit of ASX-listed Leighton Holdings, has won the $1 billion contract to build the Transmission Gully road north of Wellington. More>>

ALSO:

Gareth Morgan: The Government’s Fresh Water Policy – Revisited

Fresh water quality is the latest area to be in the sights of Gareth Morgan and his research organisation The Morgan Foundation... They found that the fresh water policy was a bit murkier than the Environment Minister let on. More>>

ALSO:

Interest Rates: RBNZ Hikes OCR To 3.5%, ‘Period Of Assessment’ Now Needed

Reserve Bank governor Graeme Wheeler raised the official cash rate as expected, while signalling a pause in rate hikes to assess the impact of moves so far this year. The kiwi dollar sank after Wheeler said its strength was “unjustified” and that the currency could have “a significant fall.” More>>

ALSO:

Fonterra: Canpac Site 'Resize' To Focus More On Paediatrics

Fonterra is looking at realigning its packing operations at Canpac, in the Waikato, to focus more on paediatric nutritionals... The proposed changes could mean around 110 roles may not be required at the site which currently employs 330. More>>

ALSO:

Scoop Business: Postie Plus Brand Gets 2nd Chance With Well-Funded Pepkor

The Postie Plus brand is getting a new lease of life after South Africa’s Pepkor bought the failed retailer’s assets out of administration and said it will use its purchasing power to reduce costs of stock and fatten margins. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

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