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90 seconds at 9 am: Dairy prices tumble; Equities rebound continues; IMF sees growth, gets fund commitments; AU jobs move to NZ

Posted in News
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Here's our summary of the key news overnight in 90 seconds at 9 am, including news that there has been a big fall this morning in dairy prices.

Fonterra's globaldairytrade platform is reporting a 10% fall in prices at the latest auction. Whole milk powders, cheese, and casein all had significant drops of much more than 10%. Skim milk powder fell less.

This is a reality check for dairy commodities, and they are now moving very much like other commodities.

Having said that, oil raced up sharply overnight although it has fallen back in more recent trades. Stocks are up also quite sharply, the Dow over 13,100 and 3% higher than this time last week.

Not only have corporate results reported been good, the IMF is getting some big commitments through for its backstop fighting fund, and Spanish bond yields have eased back overnight and are now below 6%.

The world economy will grow 3.5% this year, up from January's forecast for 3.3%, the IMF said today in its World Economic Outlook.

For 2013, it predicted growth of 4.1%, up from 4.0%. It also boosted its outlook for the US economy, predicting expansion of 2.1% this year and 2.4% next year.

Across the ditch, the Aussies are noticing a shift of jobs to New Zealand with Woolworths being the latest to move staff here.

Related Topics

Sky high labour costs, inflexible labour rules and low productivity are all hurting Australian businesses and many of these factors are not as acute here so we have an advantage. The exchange rate helps as well.

Today, the New Zealand dollar starts the day at AU$0.7910 and US$0.8230.

We welcome your help to improve our coverage of this issue. Any examples or experiences to relate? Any links to other news, data or research to shed more light on this? Any insight or views on what might happen next or what should happen next? Any errors to correct?

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11 Comments

Odd is it not David,...? John

Odd is it not David,...? John Boy starts talking down the NZD just as the Dairy Auction takes a hit....timing.....eh..?
What happened to "there is little we can do about it " a change of heart ..? no .A change of circumstances. 
 Now if the hedge takes a hit simultaniously well...I mean well....

So that must be bullish for

So that must be bullish for houses eh?

Rock and a hard place

Rock and a hard place ..scarfie...certainly would be bullish for off shore purchasers grabbing their little slice of N.Z. Inc.
deary me...eh!

And bingo...! the Crafar deal

And bingo...! the Crafar deal is signed off before the dollar goes south......Thank you Maurice..! May I have another cow pat with that serving of horse shit Minister....?
OLD McPengxin got a farm
OIOIOhhhhh.............
 

Question is will some more

Question is will some more money printing bring it all up again? With China sliding perhaps not.

Can you give us all the words

Can you give us all the words to that song, I have a feeling we may have to sing it a lot more from now on

I'll get right on it

I'll get right on it Raegun...right afer I finish my fan letter to Maurice....now if I could only get the shit in with the fan.!!

Pincer movement .. if they

Pincer movement .. if they dont get you with a left .. they'll get you with a right .. try this http://www.smh.com.au/business/china-stake-in-big-four-bank-likely-20120418-1x7po.html  It's like a virus ... they're coming .. and you cant stop em.

  liar..."The Bank of

  liar..."The Bank of England’s money-printing programme has not hit pensioners’ annuity rates, the pensions minister has said. "
.http://www.telegraph.co.uk/news/politics/9211987/Printing-money-does-not-hit-annuities.html

You just don't want to be a

You just don't want to be a citizen of any EU Euro nation because you are the sucker who will be robbed blind by your thieving govt and the EU criminal pollies to pay for the bailouts to come.
Expect your thieving govt to enact laws to allow them to steal what they want and to smash you to pulp if you so much as protest the criminal behaviour.
http://www.bloomberg.com/news/2012-04-17/spanish-banks-gorging-on-sovereign-bonds-shifts-risk-to-taxpayer.html
 
Meanwhile here in NZ our thieving govt has set about stealing more by way of hiking the RUC money grab...this scam act of theft promises to raise the cost of freight and so the cost of food....another example of the fatheads failing to figure out the unintended consequences of their idiocy. The stolen money will be used to buy votes via the WFF and AS rorts.