By Dan Bell
The NZD/USD broke under 0.79 overnight and opens around 0.7870 this morning as risk aversion continues to dominate market direction.
The main driver of risk off sentiment has been speculation that Greece’s new government will fail to follow through on required austerity measures and will not receive the next EU/IMF bailout funds.
The NZD has been one of the worst performing currencies overnight and opens weaker against most of the majors at 0.7780 AUD, 0.6050 EUR, 0.4870 GBP and 62.80 JPY.
Global stocks are weaker across the board with the S&P 500 down 0.4% following European equities down 2%+.
Commodities are also down - particularly copper prices down over 2%.
The RBNZ Financial Stability Report is released this morning. Probably not a market mover but worth keeping an eye on.
----------------------------------------------------------------
To subscribe to our daily Currency Rate Sheet email, enter your email address here.
----------------------------------------------------------------
Dan Bell is the senior currency strategist at HiFX in Auckland. You can contact him here
No chart with that title exists.
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.