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

 

XE Morning Update

The NZDUSD opens at 0.6259 (mid-rate) this morning.

The NZD continued to encounter heavy selling pressure on Friday with the dollar falling to a new multi-year low against the USD.

The NZD along with other commodity linked currencies underperformed as optimism surrounding US-China trade talks faded.

News that the Chinese trade delegation who were in Washington for deputy-level trade talks, had cancelled a scheduled visit to US farm states, and were returning to China early led to the increase in risk aversion. In response to the news President Donald Trump announced that he is not interested in a "partial or interim deal” and told reporters he doesn't think he needs to reach a trade deal with China before the 2020 elections.

The EUR moved higher on Friday night after preliminary data from the European Commission showed eurozone consumer confidence improved in September to its highest level in four months. The flash consumer confidence index which had fallen to -7.1 in August rose to -6.5 in September, its highest level since May of this year.

The key driver for the NZD this week will be the tone of Wednesday’s monetary policy statement. Given that the RBNZ surprised the market with a 50bp cut at there last meeting, and that tis cut will take time to filter through the economy it is unlikely we will see another adjustment to the rate at Wednesday’s meeting.

Global equity markets closed mixed on Friday, - Dow -0.59%, S&P 500 -0.48%, FTSE -0.16%, DAX +0.08%, CAC +0.56%, Nikkei +0.16%, Shanghai +0.25%.

Gold prices edged up 0.7% on Friday closing out the week at $1,516 an ounce. WTI Crude Oil prices were down 0.8% on Friday, closing out the week at $57.84 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>>

ALSO:

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>>

ALSO:

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>>

ALSO:

"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>>

ALSO: