Scoop has an Ethical Paywall
Work smarter with a Pro licence Learn More

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

 

NZ dollar firm as focus turns to Australian CPI data

NZ dollar firm as focus turns to Australian CPI data

Jan. 23 (BusinessDesk) – The New Zealand dollar is firmer ahead of Australian inflation data and after the Bank of Japan came out with an open-ended stimulus programme.

The kiwi was at 84.04 US cents at 8am, up from 83.99 cents at 5pm yesterday.

It fell to 74.51 yen, from 75.17 yen at 5.20pm on Tuesday after the Bank of Japan disclosed monetary policy initiatives.

The yen appreciated overnight, turning around a recent trend of weakness.

The kiwi would have fallen more on the yen cross if it had not been firm against the US dollar.

“The Bank of Japan delivered all the things expected but the negative was that they said that the asset purchases don’t start to January next year. The timing was a disappointment,” Imre Speizer, senior market strategist at Westpac said.

The central bank has been stimulating the Japanese economy by purchasing assets in in dribs and drabs.

“Now they have outlined a timetable and it continues forever until the economy improves -- and that is a powerful thing -- but we don’t get it for another year,” Speizer said.

The market is now focused on a core measure of inflation in the December quarter Australian consumers price index report, due out today.

“We are expecting a stronger number than market. Maybe people jumped on that theme,” Mr Speizer said.

The market expectation is for the core measure to rise by 0.65 percent in the December quarter.

A strong core inflation number would dampen expectations for a rate cut in Australia in February.

The kiwi was at 79.53 Australian cents at 8am, down from 79.79 cents at 5pm on Tuesday.

It was at 63.09 euro from 62.93, and 52.94 British pence from 52.99.

The trade-weighted index was at 75.41 from 75.34

(BusinessDesk)

Advertisement - scroll to continue reading

Are you getting our free newsletter?

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.

© Scoop Media

Advertisement - scroll to continue reading
 
 
 
Business Headlines | Sci-Tech Headlines

 
GenPro: General Practices Begin Issuing Clause 14 Notices

GenPro has been copied into a rising number of Clause 14 notices issued since the NZNO lodged its Primary Practice Pay Equity Claim against General Practice employers in December 2023.More

SPADA: Screen Industry Unites For Streaming Platform Regulation & Intellectual Property Protections

In an unprecedented international collaboration, representatives of screen producing organisations from around the world have released a joint statement.More

 
 
 
 
 
 
 
 
 
 
 
 

Join Our Free Newsletter

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.