Here's our summary of key events overnight that affect New Zealand.
America’s trade deficit increased to a nine-year high in February, with both imports and exports rising to record highs. The trade gap increased more than expected to US$57.6 billion. Exports rose 6.8% over the year, despite exports to China dropping 1.1%. On the import side, growth was up 10.1% with imports from China up 14.5% and Mexico 10.2%.
The news comes as the US tries to protect domestic industries by imposing tariffs on imports. Yet there’s still uncertainty around how many of the tariffs being talked up will be applied, and whether they will actually curb imports or simply increase prices.
The latest in the trade spat between China and the US is that the director of the White House’s National Economic Council has come out saying the countries will reach a deal bringing down barriers on both sides. Yet China is puffing out its chest; its state media saying it won’t surrender to external pressure and can win a trade war.
US stock markets are continuing to rebound from their dip earlier this week. The S&P and Dow are on track to posting their first three-day gains in about a month.
The big four Aussie banks have hit back at misconduct claims around their consumer lending businesses, made in the first round of the Banking Royal Commission. NAB for example says the Commission didn’t hear evidence from any customer affected by the supposed deception around its introducer mortgage referral programme.
Meanwhile ANZ says even if misconduct is found around a particular case involving it issuing a loan someone who suffered a brain injury, it would be unfair to conclude this was due to a broader cultural problem.
In New York, the UST 10yr yield has bounced up to 2.83%.
The US crude benchmark has risen to US$64/bbl, while the Brent benchmark is up above US$68/bbl.
Gold is down to US$1,325/oz.
The New Zealand dollar has weakened since this time yesterday to 72.7 USc, 94.6 AUc and 59.4 euro cents. The TWI-5 is down to 74.2.
The price of bitcoin remains in the slump it fell to yesterday. It’s at US$6,798.
Overnight the focus will shift to labour data in the US and a speech from the Federal Reserve chair on economic outlook.
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The easiest place to stay up with event risk today is by following our Economic Calendar here ».
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