sign up log in
Want to go ad-free? Find out how, here.

The Opening Bell: Where currencies start for Friday, October 31, 2014

Currencies
The Opening Bell: Where currencies start for Friday, October 31, 2014

By Dan Bell

The NZDUSD opens higher at 0.7840 this morning.

The RBNZ sparked a further sell-off in the NZD yesterday morning, after the initial damage was done by the US Federal Reserve who gaave a relatively upbeat view of the US economy and said they interest rates may rise sooner than the markets expect if the recovery strengthens.

The NZD dipped further yesterday when the RBNZ commented the currency was at an “unjustified and unsustainable” level at the Official Cash Rate (OCR) announcement. The OCR remains at 3.50%, and is likely to stay at this level for considerable time as the RBNZ stated that it is prudent to undertake a period of assessment and dropped any reference to further rate hikes.

US Q3 GDP figures exceeded expectations (+3.5% versus 3.1% consensus), while the German inflation numbers came in on the weak side.

Global equity markets were higher on the day – Dow +1.3%, Nikkei +0.3%, Shanghai +0.7%, FTSE+0.2%, DAX +0.4%

Gold prices plunged 2.2% to USD$1,198. Oil prices dropped 1.3% on the day.

The current indicative mid-rates are:

NZDUSD           0.7840
NZDEUR           0.6220
NZDGBP           0.4905
NZDJPY            84.45
NZDAUD           0.8880
NZDCAD           0.8780

NZ Building Consents will be released at 10:45am this morning.

---------------------------------------------------------

To subscribe to our free daily Currency Rate Sheet and News email, enter your email address here.

Email:   

----------------------------------------------------------

Dan Bell is the senior currency strategist at HiFX in Auckland. You can contact him here »

Daily exchange rates

Select chart tabs

Daily benchmark rate
Source: RBNZ
Daily benchmark rate
Source: RBNZ
Daily benchmark rate
Source: RBNZ
Daily benchmark rate
Source: RBNZ
Daily benchmark rate
Source: RBNZ
Daily benchmark rate
Source: RBNZ
Daily benchmark rate
Source: RBNZ
End of day UTC
Source: CoinDesk

We welcome your comments below. If you are not already registered, please register to comment.

Remember we welcome robust, respectful and insightful debate. We don't welcome abusive or defamatory comments and will de-register those repeatedly making such comments. Our current comment policy is here.