The New Zealand dollar fell today due to disappointing macroeconomic reports in China. New Zealand’s own economic data released overnight was not particularly good as well, though it improved compared to the previous reporting periods.
Statistics New Zealand reported that food prices fell 0.2% in December after declining 0.6% in November. That is without adjusting for seasonal variations. Seasonally adjusted, food prices actually increased 0.5%.
The New Zealand Institute of Economic Research released its Quarterly Survey of Business Opinion for the last quarter of 2018, showing “a net 18 percent of businesses expecting general economic conditions to worsen over the coming months.” Still, it was a better result compared to the previous three months, when 28% of businesses were expecting a worsening.
GlobalDairyTrade will release its dairy price index on Tuesday. No specific time for the release is known. Dairy products are an important source of export revenue for New Zealand.
NZD/USD was little changed at 0.6822 as of 23:01 GMT today. EUR/NZD was up from 1.6782 to 1.6879 before pulling back and settling at 1.6811. NZD/JPY dropped from 74.09 to 73.77, touching the low of 73.47 intraday.
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