90 at 9: NZ$ down to 62.9 USc after US jobs data very weak in June

Bernard Hickey details the key news overnight in 90 seconds at 9am in association with ASB, including news that 467,000 jobs were lost in the United States in June, which was much worse than the 322,000 lost in May. The green shoots are being browned off. This drove the Down down 2.4% in late trade and helped make investors feel more risk averse about risky currencies like the New Zealand dollar. The Kiwi dollar fell to 62.9 USc overnight from 64 USc yesterday, fueled partly by the risk aversion, partly by fears about NZ$4.6 billion worth of maturing Uridashi bonds this month and partly on worries about falling dairy export returns. Meanwhile Goldman Sach has increased its salaries for bankers to an average US$700,000 and the European Central Bank kept its official rate at 1%, although it is still pumping large amounts of cash into credit markets and banking systems to try to revive a very weak European economy.