Here's my summary of the key news overnight in 90 seconds at 9 am, including news of a new stock index high in New York.
Global stocks rallied, while the US dollar reached an eight-month high against the euro after corporate earnings improved and data showed rising US consumer prices.
Markets are expecting the geopolitical tensions to ease off, even as Tel Aviv airport comes under fire.
Those American consumer prices rose +2.1% in the year to June, within which food rose +2.3% and energy +3.2%. Apparently, earnings kept up with that pace as real earnings (after inflation) were unchanged over the year.
And staying in the US, the volume of homes sold (existing homes) rose to their highest level in nine months, and back above the 5 million/year rate. Median prices also rose and are now at US$223,300 (NZ$254,300) and that was the 28th consecutive month of price gains.
In Australia, the Labor Party there has called for accounting to be taken off a list of in-demand occupations for skilled migrants, saying its inclusion is adding to youth unemployment.
Back in New York, UST 10yr yields rose to 2.49% in late trade this morning. The oil price dipped on both benchmarks and gold fell as well, now at US$1,313/oz.
The New York equity rally saw the S&P500 reach a new all-time high, driven by broad-based better-than-expected earnings reports. However some of the big brands, McDonalds and Coca Cola for instance, disappointed. Apple and Microsoft have yet to report.
We start today with the NZ dollar basically lower. We are now just over 86.6 USc, at 92.3 AUc. The TWI is at 80.7.
If you want to catch up with all the changes yesterday we have an update here.
The easiest place to stay up with today's event risk is by following our Economic Calendar here »
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15 Comments
I would not even attempt to make a call on a speculative position on the NZ$ .
Some economists reckon the Kiwi / US$ should be at 75cents implying a big fall coming , with dairy prices dropping to $6,20 , this rationale makes some sense to me .
Other economists think that given our interest rate differential , they see the Kiwi$ as being a good punt by foreginers chasing yield . This also seems plausable
So who do you go with ?
Add in inflation expectations , and a building boom with labour shortage in constrction and you cant even see the wood from the trees
Bill English says NZ dollar too high.
http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11297974
http://davidstockmanscontracorner.com/kievs-propaganda-doesnt-add-up-wh…
You love conspiracy theories don't you?
"At a briefing in which generals used flashing radar images on big screens in a state-of-the-art conference room, "
Well if the russian has big screens, then yup, that surely proves what they are saying is true.
"I highly doubt that Russia would make those claims unless they could back them up."
At the start of the article he complains the Americans have made claims that they can't back up. Why does he believe the Russians are more truthful than the Americans? Did he believe the Russians at the start of this conflict when Putin said they will not annex Crimea?
Zerohedge (and various associates) has gone totally bush in its coverage of this, pandering to the worst of its libertarian tin foil hat followers, and why anyone would seek to promulgate their views is beyond me.
The rebels shot down a high altitude plane travelling from west to east into their 'airspace' thinking it was a Ukrainian military plane, something they had been trying to do/succeeding in doing for the past 2 week. I am sure they very much regret doing it now (hence their frantic attempts at a cover up), but really that is all there is to it.
I would have thought Mish Shedlock was a pretty solid figure in the blogsphere.
The Wikipedia on IR655 is pretty frightening. Im past beliving everything the Government wants me to.
Im just reading 'A world Undone' by G.J. Meyer. The world would have been a so much better place if people had only known what was going on in France and Gallipoli, and were able to stop the carnage.
Its a great read and I don't know how I missed reading it earlier.
Ain't it the truth? I well remember a cohort of mine possessing a required varsity textbook entitled: Behavior: The Control of Perception
Nth Canterbury news
We are therefore not able to grant consent to the preferred highly developed NTFE dairyingproposal as promoted to us. However, we consider that the purpose of the RMA would still be met by granting consent to a reduced development involving dryland farming and/or a limited dairying operation with a reduced or scaled back water take and limited irrigation area on Balmoral. http://ecan.govt.nz/news-and-notices/notices/hearingdecisions/ntfe-decision-210714.pdf This is about 7,000 ha in the /the soon to be/ old Balmoral Forestry.Chunky China debt levels.
http://blogs.telegraph.co.uk/finance/ambroseevans-pritchard/100027691/c…
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