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


XE Morning Update - July 17, 2019

The NZDUSD opens at 0.6698 (mid-rate) this morning.

The USD has strengthened overnight after retail sales for the month of June exceeded market expectations.

Data from the Commerce Department showed that retail sales rose by 0.4% in June following on from a downwardly revised 0.4% increase in May. The result was markedly stronger than forecasted with economists predicting sales to inch up by 0.1% from May’s previously reported 0.5% increase.

US import prices fell sharply in June with the Labour Department reporting prices plummeted 0.9% partly due to a steep fall in fuel prices. Economists had expected prices to decline by 0.7%.

This mornings Global dairy Trade Auction has ended the recent slump in prices going back to early May, with the overall index up 2.7%. Both skimmed milk and whole milk powder prices achieved significant gains, up 3.8% and 3.6% respectively.

This morning Federal Reserve Chairman Jerome Powell reiterated that the Fed will “act as appropriate” to keep the economic expansion going. Speaking in Paris Mr Powell repeated that Fed officials remain concerned about the lack of progress in trade talks and slowing global growth along with “a more prolonged shortfall” in inflation which remains below the Fed’s 2.0% target.

“ Many FOMC participants judged at the time of our most recent meeting in June that the combination of these factors strengthens the case for a somewhat more accommodative stance of policy” commented Powell.

The British pound came under more pressure overnight as fears of a no-deal Brexit increased after both Conservative Party leadership candidates – Boris Johnson and Foreign Secretary Jeremy Hunt, declared the Northern Ireland backstop effectively ‘dead’ and said that they would now remove this from their future negotiations with the EU.

A lack of economic data during our trading day is likely to see currencies trade tight ranges.

Global equity markets are mixed, - Dow -0.06%, S&P 500 -0.36%, FTSE +0.60%, DAX +0.36%, CAC +0.66%, Nikkei -0.69%, Shanghai -0.16%.

Gold prices are marginally lower, trading at $1,405 an ounce. WTI Crude Oil prices have fallen sharply, down 3.7%, trading at $57.39 a barrel.


© Scoop Media

Business Headlines | Sci-Tech Headlines


$7.5 Billion Surplus: Government Accounts "Show Strong Economy"

“The surplus and low levels of debt show the economy is in good shape. This allows the Government to spend more on infrastructure and make record investments in health and education,” Grant Robertson says. More>>


New OIO Application Trumps Judicial Review: OceanaGold Cleared To Buy Land For Waihi Tailings Expansion

In a surprise turnaround, the government has given OceanaGold a greenlight to buy land to expand its Waihi mine after the application was previously turned down by Land Information Minister Eugenie Sage. More>>


Christchurch Rebuild: Fletcher Sued For $7.5m Over Justice Precinct

Fletcher Building is being sued for $7.5 million by utilities contractor Electrix, one of the subcontractors on the Christchurch Justice and Emergency Services Precinct. More>>

Three New Drugs: PHARMAC Signs Bundle Deal For More Cancer Medicines

420 New Zealanders with lung cancer, breast cancer, multiple sclerosis and respiratory disease will benefit each year from a bundle deal PHARMAC has finalised with a medicine supplier. More>>


"Levels Playing Field": Government Responds To Electricity Price Review

The changes announced today include: • Supporting new and independent retailers by requiring the big power companies to sell into the wholesale market at affordable rates. • Extending discount rates to all customers • A pilot scheme to help customers who have not switched power providers before to shop around for better deals... More>>