Kiwi above 76 US cts as Greek pro-bailout party leads polls   28 May 2012

Article - BusinessDesk

Kiwi above 76 US cts as Greek pro-bailout party leads polls

By Paul McBeth

May 28 (BusinessDesk) - The New Zealand dollar rose above 76 US cents in local trading for the first time in a week after early Greek opinion polls showed the pro-bailout New Democracy party had the most support ahead of next month's general election.

Financial markets are likely to judge this as allaying fears about a potential exit from the euro-zone.

The kiwi climbed to 76.08 US cents at 5pm from 75.72 cents at 8am and 75.29 cents at the close of trading in New York on Friday. The trade weighted index gained to 69.29 from 68.89 last week.

Greece's New Democracy, which supports the rescue plan negotiated with global leaders, placed first in all six opinion polls published on May 26 in the lead-up to the June 17 election. The Mediterranean nation's legislators threw the region into disarray when they failed to form a viable government at last month's election, raising fears it may have to leave the euro-zone and ditch the single currency.

"It's a long way to go to 17 June and the polls are going to swing," said Imre Speizer, market strategist at Westpac Banking. The kiwi's gain is "certainly alleviating that oversold condition, and we might see it bounce up to the 77, 78 US cents area this week."

With US markets closed for the Memorial Day holiday, Monday, investors will be watching headlines in Europe, with speculation Spain may seek European Central Bank support to bail out the nationalised lender, Bankia SA. The country's fourth-biggest bank needs 19 billion euros of state funding. The yield on Spain's benchmark 10-year bond rose 3 basis points to 6.35 percent.

Three of five strategists surveyed by BusinessDesk expect the kiwi will gain this week as Europe's sovereign debt woes calm down for the time being.

US employment figures and Chinese manufacturing data will be the focus for traders when they're published on Friday.

The New Zealand dollar rose to 60.49 euro cents from 60.14 cents at the close of trading in New York on Friday and increased to 48.50 British pence from 48.07 pence. The kiwi climbed to 77.25 Australian cents from 77.15 cents last week and gained to 60.97 yen from 59.97 yen.

(BusinessDesk)

Add a comment

Bookmark and Share

News

Christchurch continuing to bounce back

23 Sep 2016 Canterbury Earthquake
New Zealand Government Hon Gerry BrownleeMinister supporting Greater Christchurch Regeneration   23 September... more

Local Government reforms extension

23 Sep 2016 News
New Zealand Government Hon Peseta Sam Lotu-IigaMinister of Local Government 23 September 2016 The Minister of Local Government ... more

Business

RBNZ pushes for new quarterly disclosure regime

23 Sep 2016 Business News
Article - BusinessDesk Friday 23 September 2016 12:47 PM RBNZ pushes for new quarterly disclosure regime By Paul McBeth Sept. 23 ... more

McClay says prospects for Indonesia trade good

23 Sep 2016 Business News
New Zealand Government Hon Todd McClayMinister of Trade 22 September 2016 Minister of Trade Todd McClay says he is encouraged by... more

Living

Young New Zealanders Making Films For Good

18 Jul 2016 Lifestyle
The Outlook for Someday Young New Zealanders Making Films For Good What does sustainability mean to you? Since 2007 The Outlook for... more

Review: NZ's Pitch Black - live in London

8 Jul 2016 Entertainment By Charlotte Everett
20 years after their debut at The Gathering, Pitch Black have satiated a packed venue of fans at London’s Oslo, in... more

Property

Auckland house prices are stabilising Barfoot says

3 Aug 2016 Property By Sophie Boot
Wednesday 03 August 2016 10:30 AM Auckland house prices are stabilising, may have plateaued, Barfoot says Aug. 3 (BusinessDesk) -... more

NZ home values rise at fastest quarterly pace in 12 years

2 Aug 2016 Property By Tina Morrison
Article - BusinessDesk NZ home values rise at fastest quarterly pace in 12 years By Tina Morrison Aug. 2 (BusinessDesk) - New... more

Migration

Kiwis could be affected by tighter UK rules

30 Mar 2016 Migration By Audrey Young
British High Commissioner Jonathan Sinclair is defending changes to skilled migrant rules for Britain but suggests they won't affect... more

Immigrants' attitudes to corruption worries SFO

17 Feb 2016 Migration By Sophie Boot
Feb. 17 (BusinessDesk) - New Zealand's record inbound migration has undermined the country's squeaky-clean reputation because of an... more

Travel

Newer, faster and simpler eGates for Wellington

25 Aug 2016 Travel & Tourism
New Zealand Government   Hon Wagner using the new eGates at Wellington Airport.... more

NZ guest nights jump to a record in June amid tourism boom

10 Aug 2016 Travel & Tourism By Tina Morrison
Article - BusinessDesk Wednesday 10 August 2016 12:19 PM Aug. 10 (BusinessDesk) - New Zealand accommodation providers had their... more

Sport

Stars to hit the court for FAST5 Ferns

23 Sep 2016 Netball
Netball NZ Stars to hit the court for FAST5 Ferns Friday 23 September, 2016The FAST5 Ferns will be eyeing off a fourth straight title... more

Columns

Gordon Campbell on the end game in Spain

25 Aug 2016 Opinion
Column - Gordon Campbell   Gordon Campbell on the end game in Spain First published on Werewolf more

Gordon Campbell on the Impotence of the Reserve Bank

11 Aug 2016 Opinion
Column - Gordon Campbell   Gordon Campbell on the Impotence of the Reserve Bank First published on Werewolf more

Kiwi Success

New appointment to FSANZ Board

29 Aug 2016 Appointments
New Zealand Government Hon Jo Goodhew Minister for Food Safety   29 August 2016 Jane Lancaster has been appointed to the Food ... more

Appointments to New Zealand National Commission for UNESCO

12 Aug 2016 Appointments
New Zealand Government Hon Hekia ParataMinister of Education 12 August 2016 Appointments to New Zealand National Commission for... more

Recruitment

Jobs growth continues to be strong

3 Aug 2016 Recruitment
New Zealand Government Hon Steven Joyce Minister for Tertiary Education, Skills and Employment 3 August 2016 Jobs growth continues... more

NZ private sector wage inflation misses expectations in June

3 Aug 2016 State of the Market Report By Paul McBeth
Wednesday 03 August 2016 11:57 AM NZ private sector wage inflation misses expectations in June quarter Aug. 3 (BusinessDesk) - New... more

s