NZ dollar gains vs. AUD as Australian retail sales fall 30 May 2012
- NZ dollar falls vs. euro after confidence survey Business
- NZ govt film incentive to boost activity, NZFC's Gibson says Business
- MARKET CLOSE: NZ shares fall; Meridian, Genesis, MRP decline Business
- NZ dollar little changed as traders mull ECB's pledge Business
- Key concedes new budget forecasts could be a 'small' deficit Business
- HB council could lease Napier-Gisborne line from KiwiRail Business
- Spark piggybacks on Chinese R&D with Huawei contract Business
- Smartpay shares climb 15% after launch of taxi booking app Business
- Little's shadow Cabinet has Robertson finance, King deputy Business
- NZ net migration rises to record in Oct as more kiwis return Migration
The New Zealand dollar gained against its trans-Tasman counterpart after figures showed Australian retail sales shrank last month, sapping investors' appetite for the so-called Aussie. The kiwi is headed for a 7 percent monthly decline against the greenback.
The kiwi climbed to 77.60 Australian cents at 5pm from 77.44 cents at 8am and 77.29 cents yesterday. It was little changed at 76.03 US cents from 76.10 cents yesterday.
Australian retail sales shrank 0.2 percent in April, falling short of the 0.2 percent growth forecast by economists, government figures showed. Australia has been contending with a two-speed economy over the past year, as its resources sector charges away while its service sector and household demand remain subdued.
"The markets seemed to react to the headline (retail sales) figure, and that helped the kiwi/Aussie cross rate a little," said Chris Tennent-Brown, FX economist at Commonwealth Bank of Australia in Sydney, referring to the currencies colloquially. "The kiwi should get up to 80 Australian cents in the course of the year" barring any meltdown in Europe, he said.
New Zealand's currency is poised for a 7 percent monthly decline against the greenback after Europe's deteriorating financial stability weighs on investors' confidence. Traders have been eschewing risk-sensitive assets since Greece's election failed to deliver any clear winner and Spain's banking system looks likely to need a major recapitalisation.
"The kiwi fell about 10 US cents in the end and I think when you get that sort of move, unless you have GFC (global financial crisis) style news flowing for months on end, inevitably you'll get some consolidation," Tennent-Brown said. "If we start to see things pick up, then the kiwi and Aussie should be able to rise."
Investors will be watching for any new headlines about Spain's banking system and the likelihood of it needing a regional bail-out, ahead of Friday's Chinese manufacturing figures and US employment numbers on the same day.
The trade weighted index increased to 69.48 from 69.36 yesterday, and is poised for a 4.5 percent monthly decline.
The New Zealand dollar increased to 48.68 British pence from 48.55 pence yesterday and was little changed at 60.41 yen from 60.47 yen.
24 Nov 2014 News
Nga Pae o te Maramatanga (NPM), New Zealand's Maori Centre of Research Excellence, is this week (25th – 28th November) holding... more
18 Nov 2014 Business News
Every year, several dozen butchers make an epic commute - from provincial New Zealand to rural Iceland - for just two months' work.... more
17 Nov 2014 Lifestyle
WAITANGI, New Zealand – When intrepid Hokulea crewmembers first sailed to Aotearoa (New Zealand) 29 years ago using the ... more
14 Nov 2014 Lifestyle
A University of Waikato Sir Edmund Hillary Scholarship team is set to compete in this Sunday’s Round the Bridges. The team of... more
18 Nov 2014 Property
Social Housing Minister Paula Bennett is impressed with Housing New Zealand’s progress in building, redeveloping and repairing... more
24 Nov 2014 Migration
NZ net migration rises to fresh record in Oct as more kiwis return, Indian students arrive Nov. 24 (BusinessDesk) - New... more
3 Nov 2014 Migration
Australians and New Zealanders should be granted special status to live and work in the United Kingdom without restriction, a new... more
12 Nov 2014 Travel & Tourism
Nov. 12 (BusinessDesk) - New Zealand guest nights rose 1.1 percent to a record for a September month, driven by a rebound in ... more
7 Nov 2014 Travel & Tourism
Associate Tourism Minister Paula Bennett and Immigration Minister Michael Woodhouse say Indian nationals travelling to New Zealand... more
24 Nov 2014 Golf
NAPLES, Fla. -- New Zealand teenager Lydia Ko was an instant millionaire even before she went into a three-way playoff Sunday in the... more
24 Nov 2014 Opinion
The recent appointment of former TVNZ boss Rick Ellis to head Te Papa has copped a fair bit of criticism... more
20 Nov 2014 Opinion
Could this news report serve to explain – in a nutshell – why Prime Minister John Key has not ruled out the SAS... more
18 Nov 2014 Appointments
Foreign Minister Murray McCully has announced diplomat David Strachan as New Zealand’s new Ambassador to the... more
12 Nov 2014 Recruitment
Article - BusinessDesk Smiths City starts search for new CEO after Hellings signals exit By Paul McBeth Nov. 12 (BusinessDesk)... more