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


NZ dollar holds gains ahead of US employment figures

NZ dollar holds gains ahead of US employment figures

By Paul McBeth

Sept. 5 (BusinessDesk) - The New Zealand dollar held its gain in local trading after investors got more optimistic over global growth on the strength of Chinese services data, and ahead of US employment figures.

The kiwi traded at 78.98 US cents at 5pm from 79.07 cents at 8am, up from 78.08 cents yesterday. The trade-weighted index advanced to 74.68 from 74 yesterday.

Risk-sensitive assets got a boost in Northern Hemisphere trading yesterday after a report showed China’s services sector grew. Investors held off changing their view ahead of US private payrolls data on Thursday in Washington, which is a precursor to the official non-farm payrolls figures on Friday. US employment has become a touchstone for investors when looking at the world’s biggest economy as Federal Reserve chairman Ben Bernanke has linked reducing monetary stimulus to a reduction in the jobless rate.

“Liquidity’s pretty thin – basically no-one’s dipping their toes in ahead of payrolls,” said Mike Jones, currency strategist at Bank of New Zealand in Wellington. “The risk is a positive number popped the kiwi back down into the 78s,” he said, referring the kiwi against the greenback.

Investors will be also be looking at the European Central Bank and Bank of England meetings in Northern Hemisphere trading, with the British central bank more likely to attract more attention as the UK economy shows signs of recovery after a protracted recession. The kiwi rose to 59.89 euro cents from 59.31 cents yesterday, and increased to 50.58 British pence from 50.16 pence yesterday.

The local currency advanced to 78.85 yen from 77.85 yen yesterday after the Bank of Japan left its plans to double the size of its monetary base unchanged after a two-day policy meeting.

The kiwi 86.12 Australian cents from 85.78 cents yesterday after government figures showed a trade deficit of A$765 million in July, worse than the A$100 million surplus predicted.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Auckland Airport: North American Touch Downs Make AA Most Connected In Australasia
The return of American Airlines, the world’s largest airline, announced today has cemented Auckland Airport’s title as the Australasian airport with the most non-stop connections to the United States and Canada... More>>

Reserve Bank: Monetary Conditions Tighten By More And Sooner

The Monetary Policy Committee today increased the Official Cash Rate (OCR) to 2.0 percent. The Committee agreed it remains appropriate to continue to tighten monetary conditions at pace to maintain price stability... More>>

The Download Weekly: Vodafone FibreX back in court

Vodafone and the Commerce Commission head back to court over FibreX in a week the TCF issues broadband marketing codes that should avoid similar problems in the future... More>>

Kiwibank: Savers To Benefit From Higher Returns Following OCR Rise

Following market movements Kiwibank is pleased to increase the interest rate and rates of return on its savings accounts... More>>

Fonterra: Provides 2022/23 Opening Forecast Farmgate Milk Price & Business Performance Update
Fonterra today announced its 2022/23 opening forecast Farmgate Milk Price and provided an update on its third-quarter performance... More>>

Stats: Quiet Start For Retail In 2022
The volume of retail sales was relatively unchanged in the March 2022 quarter, following a strong increase in the December 2021 quarter, Stats NZ said today... More>>