Sharechat Logo

NZ dollar gets a lift from improving risk appetite on possible North Korea-US talks

Monday 9th April 2018

Text too small?

The New Zealand dollar rose against the greenback as risk appetite got a lift from reports North Korea told the US that Kim Jong Un is prepared to discuss the denuclearisation of the Korean Peninsula.

 

The kiwi traded at 72.93 US cents as at 5pm in Wellington versus 72.68 US cents as at 8am and from 72.62 cents in New York. The trade-weighted index rose to 75.04 from 74.75.

 

 "The U.S. has confirmed that Kim Jong Un is willing to discuss the denuclearization of the Korean Peninsula," a Trump administration official said on Sunday, Dow Jones Newswires reported.  The assurances from North Korea clear the way for a summit meeting between the North Korean leader and US President Donald Trump. While markets remained jittery about a possible global trade war after both China and the US continued to trade threats they are now looking for action. 

 

"The market now wants China and the US to get a bit closer to meeting around the table. The market will probably respond quite well to that," said Martin Rudings, a senior dealer at OMF.

 

Investors will be keeping an eye out for tomorrow's quarterly survey of business opinion for a gauge on whether confidence is improving after it fell sharply post the September election. 

 

The kiwi dollar rose to 78.07 yen versus 77.64 yen late Friday in New York, also benefiting from improving risk appetite. It traded at 59.42 euro cents from 59.11 late Friday. 

 

The kiwi traded at 94.84 Australian cents from 94.56 cents in the US on Friday and rose to 4.5939 yuan from 4.5783.  The New Zealand dollar traded at 51.74 British pence from 51.52 pence.

 

New Zealand's two-year swap rate rose 3 basis points to 2.24 percent and 10-year swap rate lifted 3 basis point to 3.13 percent.

 

(BusinessDesk)

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

MARKET CLOSE: NZ shares gain; a2 hits new record, F&P climbs on patent deal
NZ dollar eases against Aussie on strong jobs data
KiwiSaver funds face unrealised capital gains tax on NZ and Aussie shares
Planning changes need to speed renewables development - Meridian
A guide to the Tax Working Group's 'other' recommendations
MYOB adds 57% more subscribers in 2018 but total online customers still lag Xero's
Investors fear chilling effect as former IRD boss opposes capital gains proposals
Stuff 1H earnings slide but Nine still optimistic of finding buyer
NZ Post achieves first-half revenue growth for the first time since 2015
TeamTalk affirms annual earnings guidance as rising costs dent first-half profit

IRG See IRG research reports