Here's my summary of the key events overnight that affect New Zealand, with news we will get key April migration data today.
But first, the number of Americans filing for unemployment benefits fell from a 14-month high last week, the latest sign the economy was picking up speed in the second quarter and likely would be healthy enough for the US Fed to raise interest rates in June. Reinforcing the message, the chief of the NY Fed came out supporting a June hike. The US dollar rose following his comments. The stock markets fell with their usual mini-tantrum.
In Europe, they have slipped back into deflation in April.
In South East Asia, we should note that both the Malaysian and Indonesian central banks have been reviewing their policy interest rates and both decided not to cut.
The next country to taking interest rate action will probably be Mexico. And they seem likely to hike rates, probably by +50 bps. That would be on top of their similar hike in February.
And the giant Chinese dairy brand Yili, which owns the Oceania dairy factory in South Canterbury, has been named the top Chinese brand.
Locally, keep an eye out for our tourism and migration data that will be out at 10:45am today. Migration is a key influence on our economy and this data is followed more closely these days. Tourism numbers are also now a key economic factor.
In New York the benchmark UST 10yr yield rose again today to 1.85% on the NY Fed remarks.
The oil price is still basically unchanged with the US benchmark just over $48/barrel and the Brent benchmark just under US$49/barrel.
The gold price fell for a second day in a row and again by more than US$10 and is now at US$1,255/oz.
And finally today, the NZ dollar is holding its own against the greenback and will start at 67.5 US¢, at 93.4 AU¢, and at 60.3 euro cents. The TWI-5 index is now at 71.5.
If you want to catch up with all the local changes yesterday, we have an update here.
The easiest place to stay up with event risk today is by following our Economic Calendar here ».
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