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NZ$ falls below 75 US cents following former Greek PM's interview on Greece preparing for euro exit and 'catastrophic' fallout

NZ$ falls below 75 US cents following former Greek PM's interview on Greece preparing for euro exit and 'catastrophic' fallout

The New Zealand dollar has fallen through 75 US cents for the first time since mid-December as global markets fell following an interview former Greek Prime Minister Lucas Papademos gave to the Wall St Journal.

The dollar hit 74.87 US cents at 1:15pm on Wednesday after falling through the morning. The New Zealand dollar was as high as 76.75 USc at 5:45 pm on Tuesday. The currency was as low as 74.6 USc on December 15 last year.

HiFX dealer Dan Bell told the Papademos interview, in which the former Greek PM warned about the consequences of Greece exiting the euro, was published around 7am NZ time.

Asian markets opened down, and the comments weighed on the New Zealand dollar as the risk trade continued to capitulate, Bell said.

More soon.

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Good news if it is sustainable. In tough global times, our own exporters, import substituters, and tourist industry probably need all the help they can get; and a lower currency is the best place to start.

Are you seeing yet Alex..??? mmm

How big is that surplus Count? ie: best guess on how far it goes?
Have had a look at the correlation and it is certainly strong, but then everything seems aligned these days.

Correlation yes scarfie.....I believe it's the plan for now , minor resurgence at intervals to distract from the obvious....but the big bets on the downward trend. glut combined with U.S.reaction to any downward easing of the Yuan...i.e. Helicopter Ben heads for the basement.
Plan B...likely to be Bolly trying to remember where the hell he put that press and some justifiable reason for dusting it off ,that does not sound as lame as his usual "wait n see" rhetoric.
How far......a 50/50 call to sub 71 by mid to late June 60/40 by mid July.....don't get downtroud on my account it's your call entirely.
Risk's a laugh init..!!.....I mean pay me for sitting down talking bollocks while you take the leap of faith....should be a criminal offence really.  

That is about my feeling on the matter, pretty hard to pin point Ben's horizon though. I guess it will become more apparent as the time gets closer, but I am certain the act will occur. I don't plan on trading it, but have an interest because of my general short NZ policy. But NZ & NZD are likely to head in different directions with Ben's assistance. Interesting little snippet I picked up from ZH is that the Chinese are putting themselves in a position on US soil through banking, that will allow them to fractionally reserve the US treasuries they hold. As you probably know through my modified equation my view is toward increasingly lower interest rates and money printing in what ever form can be contrived, no other option really. 

Funny you mention the China plan on the ground in the I've been following the cat n mouse game for a wee while.....I think China has pre-emted a tad and maybe ...just maybe walked right in......the unwillingness of the Fed to show their clear intent has been the trend of late....not advantageous to them..? but could be extremely disadvantageous to the mark.
The no holds barred attitude of Wall St. reinforced just a few days ago when a certain scumbag  from J.P Morgan sent out a warning to only a selected few that the Facebook earnings should be revised down prior to listing...The rule as it's supposed to be "tell everyone or no one.." The reminder that nothing has been learned here will become a law suit of sizeable proportion.