News | Business
19 Mar 2018 2:11
NZCity News
NZCity CalculatorReturn to NZCity

  • Start Page
  • Personalise
  • News
  • Sport
  • Weather
  • Shopping
  • Jobs
  • Horoscopes
  • Lotto Results
  • Photo Gallery
  • Site Gallery
  • TVNow
  • Dating
  • SearchNZ
  • NZSearch
  • RugbyLeague
  • Make Home
  • About NZCity
  • Contact NZCity
  • Your Privacy
  • Advertising
  • Login
  • Join for Free

  •   Home > News > Business

    NZD climbs as US inflation data awaited

    The New Zealand dollar has risen to a week high as upcoming US inflation data will give a clearer idea of where the Federal Reserve is headed.

    13 October 2017

    The New Zealand dollar has risen to a week high as upcoming US inflation data will give a clearer steer on whether the Federal Reserve will hike interest rates as aggressively as expected.

    The kiwi gained to US71.34c as at 8am in Wellington from US71.04c on Thursday.

    The trade-weighted index advanced to 75.03 from 74.74.

    Minutes to the Federal Open Market Committee's September 19 to September 20 meeting released this week showed policymakers held concerns about the strength of inflation in the world's biggest economy.

    That raised questions about the pace and timing of future interest rate hikes.

    Upcoming US consumer price index figures are expected to show the annual pace of inflation accelerating to 2.3 per cent, although recent hurricanes make it harder for economists to interpret the data.

    Meanwhile, it's still unclear whether NZ First will back a National-led or Labour-led government, with the party's board set to weigh up the options this weekend.

    ANZ Bank New Zealand senior economist Sharon Zollner, said in a note the kiwi dollar brushed aside the political uncertainty and ascendant greenback, and was close to the 200-day moving average of US71.60c.

    "We expect that resistance level to hold for now, although tonight's US CPI figures will be key," she said.

    "There will no doubt be some volatility on any government formation announcement, but we are still of a 'sell rallies' mindset."

    Domestically, the Business New Zealand-BNZ performance of manufacturing index will be watched, with the recent run of local data showing a slowing in the pace of economic growth.

    The kiwi increased to 53.74 British pence from 53.59 pence on Thursday amid reports European Union chief negotiator Michel Barnier said negotiations with the UK on its exit from the regional bloc hit an impasse over what Britain owed when it left.

    The local currency gained to 60.27 euro cents from 59.82 euro cents on Thursday, recovering from a 17-month low after a string of strong German data spurred expectations the European Central Bank would unwind its ultra-loose monetary policy earlier than anticipated.

    The kiwi rose to A91.13c from A90.86c on Thursday ahead of the Reserve Bank of Australia's financial stability review and climbed to 4.6968 Chinese yuan from 4.6794 yuan in the lead-up to Chinese trade data.

    The kiwi rose to 80.75 yen from 79.81 yen on Thursday.


    © 2018 NZN, NZCity

     Other Business News
     18 Mar: Maori collective eye berries to boost jobs
     16 Mar: RBNZ expected to hold rate at review
     16 Mar: Cambodian director of Sofitel hotel linked to business which saw shooting of farmers
     16 Mar: Veritas shareholders for Mad Butcher sale
     16 Mar: NZ dairy manufacturer plans to list on ASX
     16 Mar: NZME boss Moran quits after a year
     16 Mar: Shell to sell remaining NZ assets
     Top Stories

    Resurgent Reds back in Super Rugby mix More...

    Maori collective eye berries to boost jobs More...

     Today's News

    Resurgent Reds back in Super Rugby mix 21:55

    Black Panther too 'politically correct' for China as ticket sales dive in world's second-largest market 21:35

    Rugby League:
    Manly romp to biggest NRL win over Eels 21:15

    Sixers beat United to level NBL finals 1-1 20:15

    McClure scores double ton for Canterbury 19:35

    Living & Travel:
    Young girl hit by train in Ngaruawahia 19:25

    Greens hand National Parliament questions 17:55

    Ocean Race yachts leave Auckland 17:55

    Accident and Emergency:
    Yacht rescue attempts remain unsuccessful 17:25

    Why Japan's smoking laws are stuck 'in the last century' 16:45

     News Search

    Power Search

    © 2018 New Zealand City Ltd