Kiwi little changed as central bank views, euro developments awaited

BUSINESSDESK: The New Zealand dollar was little changed after what traders called "summer doldrums" in Northern Hemisphere markets ahead of central bank reports Down Under today and the minutes of the Federal Reserve's last policy meeting tomorrow in the US.

The kiwi traded at 80.86 US cents from 80.92 cents at 5pm in Wellington yesterday. The trade-weighted index was at 72.98 from 73.04.

The Reserve Bank announces its survey of expectations here today, which will show how much inflation pressures are perceived in the local economy, while Australia's central bank releases the minutes of its latest meeting.

In Washington late tomorrow, the Federal Open Market Committee meeting minutes are released.

"I don't think anything great will come out of the RBA or RBNZ, unless the RBA talks down the Australian dollar," says Tim Kelleher, head of institutional FX sales at ASB Institutional. If the Fed "maintains the path of no more QE3, we could see a selloff in equities".

He says the New Zealand dollar may trade in a range of 80.60 US cents to 81 cents today.

The kiwi was at 77.38 Australian cents, little changed from 77.37 cents yesterday. It fell to 65.49 euro cents from 65.63 cents after Germany's Bundesbank criticised the European Central Bank's plan for government-bond purchases, showing the region is divided on how to move forward on tackling its debt crisis.

It dropped to 64.18 Japanese yen from 64.30 yen and traded at 51.47 British pence from 51.55 pence.

 


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NZ Market Snapshot

Forex

Sym Price Change
USD 0.7227 0.0136 1.92%
AUD 0.9498 0.0060 0.64%
EUR 0.6461 0.0066 1.03%
GBP 0.5456 0.0066 1.22%
HKD 5.6063 0.1075 1.95%
JPY 73.7710 -0.4500 -0.61%

Commods

Commodity Price Change Time
Gold Index 1334.4 -4.940 2016-07-28T00:
Oil Brent 44.2 -0.470 2016-07-28T00:
Oil Nymex 41.1 -0.770 2016-07-28T00:
Silver Index 20.2 0.192 2016-07-28T00:

Indices

Symbol Open High Last %
NZX 50 7306.4 7357.7 7306.4 0.57%
NASDAQ 5162.1 5175.8 5155.0 0.21%
DAX 10320.8 10355.3 10274.9 0.61%
DJI 18442.5 18466.5 18456.3 -0.03%
FTSE 6721.1 6740.5 6721.1 0.05%
HKSE 22056.0 22152.8 22174.3 -1.28%
NI225 16359.7 16679.2 16476.8 0.56%
ASX 5556.6 5570.4 5556.6 0.10%