The NZDUSD opens at 0.8825 this morning.
Global equity markets, USD and EUR fell overnight on news Portugal’s largest bank was experiencing “material difficulties.” This hurt peripheral euro zone bonds and raised fears of further banking contagion in the region.
Industrial data from Italy and France showed a steep decline in activity. This is keeping pressure on the European Central Bank to ease policy in the coming months.
The NZ TWI (trade weighted index) surged to an all-time high of 81.96 overnight. The NZDAUD traded to a high of 0.9407, while the NZDEUR has established a fresh 14-month high.
Global equity markets were lower on the day - Dow -0.4%, Nikkei -0.6%, Shanghai -0.3%, FTSE -0.7%, DAX -0.4%
Gold prices rose by 0.6% toUSD$1335. Oil prices jumped 0.4%.
The current indicative mid-rates are:
NZDUSD 0.8825
NZDEUR 0.6485
NZDGBP 0.5150
NZDJPY 89.35
NZDAUD 0.9390
NZDCAD 0.9395
NZ Food Price Index hits the tapes at 10:45am.
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Dan Bell is the senior currency strategist at HiFX in Auckland. You can contact him here »
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