NZ dollar falls as G7 leaders give no guidance on Europe 6 Jun 2012
- NZ dollar little changed as hopes grow for clear signal Business
- Supreme Court strikes out Trinity tax appeal Business
- Pacific trade and development talks near completion News
- KiwiRail posts $85.5M 'above-rail' FY earnings Business
- Air NZ shares edge up as earnings outlook hangs over profit Business
- SkyTV earnings per viewer fall as programme costs rise 11.6% Business
- $100k to boost Havelock North’s economic recovery News
- Seeka hikes interim dividend Business
- Tough second-half hurts NZ Post and Kiwibank Business
- Delegat to pay bigger dividend Business
NZ dollar falls as G7 leaders give no official guidance on Spain, Greece
By Hannah Lynch
June 6 (BusinessDesk) - The New Zealand dollar fell after the leaders of the Group of Seven nations agreed to a coordinated response to Europe’s deteriorating financial crisis, though gave no guidance on how to do so, leaving investors wary of a potential rescue.
The New Zealand dollar fell to 75.59 US cents at 8am from 75.82 cents yesterday at 5pm. The trade weighted index was unchanged at 69.15.
G7 leaders agreed to help Spain and Greece sort out their public finances following an emergency conference call on Tuesday, though no decisive steps were made to aid the indebted nations. The talks come less than two weeks before a Group of 20 nations summit that will take place as Greece holds its second general election this year, and Germany comes under increasing pressure to take more decisive action to protect the region.
"G7 will come into the conversation today but the reality is they can do a lot of talking but it comes down to implementation," said Alex Sinton, senior dealer at ANZ New Zealand. "There is no short term fix - until there is action nothing will change."
Rating agency Standard & Poor's is giving Greece a one-in-three chance of leaving the euro-zone, which would probably lead to another sovereign default by the Mediterranean nation.
The kiwi dollar was buoyed by a rebound in dairy prices in the latest GlobalDairyTrade auction. Prices surged almost 14 percent from a three-year low on Fonterra Cooperative Group's online trading site.
"A solid overnight global dairy auction result should help to deliver more support for the New Zealand dollar on downside moves," Sinton said.
The New Zealand dollar rose to 77.60 Australian cents from 77.47 cents before the release of Australia's first-quarter gross domestic figures this afternoon. The Reserve Bank of Australia cut its target cash rate by 25 basis points to 3.5 percent yesterday as deteriorating global sentiment keeps interest rates expectations low.
Australian employment numbers are also set for release on Thursday.
New Zealand figures out today include the government financial statements for the 10 months ended April 30 and the March quarter's value of building work, followed by the wholesale trade survey from Statistics New Zealand on Friday.
The New Zealand dollar rose to 60.71 euro cents from 60.52 cents yesterday and increased to 49.15 British pence from 48.88 pence. The kiwi climbed to 59.53 yen from 59.40 yen.
25 Aug 2016 News
New Zealand Government Hon Gerry BrownleeMinister of Defence 25 August 2016 Minister welcomes Baghdad appointment Defence Minister... more
24 Aug 2016 Business News
Article - BusinessDesk NZ trade deficit narrows in July from year earlier as imports fall faster than exports By Jonathan ... more
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
3 Aug 2016 Property
Wednesday 03 August 2016 10:30 AM Auckland house prices are stabilising, may have plateaued, Barfoot says Aug. 3 (BusinessDesk) -... more
2 Aug 2016 Property
Article - BusinessDesk NZ home values rise at fastest quarterly pace in 12 years By Tina Morrison Aug. 2 (BusinessDesk) - New... more
30 Mar 2016 Migration
British High Commissioner Jonathan Sinclair is defending changes to skilled migrant rules for Britain but suggests they won't affect... more
25 Aug 2016 Travel & Tourism
New Zealand Government Hon Wagner using the new eGates at Wellington Airport.... more
10 Aug 2016 Travel & Tourism
Article - BusinessDesk Wednesday 10 August 2016 12:19 PM Aug. 10 (BusinessDesk) - New Zealand accommodation providers had their... more
25 Aug 2016 Motor Sport
25 Aug 2016 Opinion
Column - Gordon Campbell Gordon Campbell on the end game in Spain First published on Werewolf more
11 Aug 2016 Opinion
Column - Gordon Campbell Gordon Campbell on the Impotence of the Reserve Bank First published on Werewolf more
12 Aug 2016 Appointments
New Zealand Government Hon Hekia ParataMinister of Education 12 August 2016 Appointments to New Zealand National Commission for... more
10 Aug 2016 Appointments
Rugby League World Cup Wednesday 10 August 2016 Respected and experienced Rugby League administrator, Andrew Hill, has been appointed... more
3 Aug 2016 Recruitment
New Zealand Government Hon Steven Joyce Minister for Tertiary Education, Skills and Employment 3 August 2016 Jobs growth continues... more
3 Aug 2016 State of the Market Report
Wednesday 03 August 2016 11:57 AM NZ private sector wage inflation misses expectations in June quarter Aug. 3 (BusinessDesk) - New... more