The Kiwi Slides on Weaker Chinese Economic Data

NEW ZEALAND DOLLAR REVIEW | The Kiwi will continue to take direction from China, one of their largest trading partners, in the weeks to follow.

 
 

GBP NZD 15.4 (1)

THE New Zealand Dollar began trading at around 1.8191 to the British Pound last Monday and around 1.1861 against the US Dollar. The Kiwi Strengthened against both currencies to end the week at 1.7833 to the Pound and 1.1584 to Dollar. The Kiwi opened Weaker compared to the previous week on Tuesday morning at 1.8105 to the Pound and 1.1825 to the US Dollar.

On Monday during the Asian trading session Chinese GDP Data reported below market expectations at 7.7%. This had a major impact on most emerging market currencies including the New Zealand Dollar as weaker demand for commodities is expected in the future months. Industrial production in China also grew below market expectations for the month of March. The Kiwi will continue to take direction from China, one of their largest trading partners, in the weeks to follow.

The Boston Marathon Bombings has shaken the international market confidence and is likely to dampen demand for riskier assets. US market is likely to take a huge knock as this event is seen as a terrorist attack. The USD/NZD rate moved by 2 cents over night after the initial reports was released.

UK inflation is due to be released later today with the PPI core figure to be around 1.4% versus the 1.3% reported in February 2013.

Composed by Elizabeth Britz

Exchange rates as of 07:30, 9 April 2013

GBP / NZD: 1.7969
EUR / NZD : 1.5332
USD / NZD : 1.1774
AUD / NZD : 1.2275

Note: The above exchange rates are based on “interbank” rates.  If you want to transfer money to New Zealand then please register/login or call us for a live dealing rate. Make use of a Rate Notifier to send you alerts when the New Zealand exchange rate reaches levels you are looking for.

 
 

 
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