New Zealand Dollar Largely Steady Late

By Lucy Craymer 
 

        WELLINGTON--The New Zealand dollar has emerged from the day's trading little changed, out of the main market focus as investors instead look ahead to U.S. nonfarm payrolls data later in the global day.
        There is a significant risk the data could disappoint and weigh on the U.S. dollar, Chris Hunter, corporate dealing manager at Western Union Business Solutions, said.
        "The target is pretty high--210,000 to 215,000 jobs added--the initial jobless claims last night weren't particularly encouraging but I think people are looking to see well and truly whether the poor unemployment numbers we had earlier in the year were entirely weather related," he said.
        The impact from the numbers not meeting expectations could be even more significant as people have put their hopes on the data showing the economy is recovering after growth data disappointed and the Fed failed to mention the economy in its statement, Mr. Hunter said.
        In late Wellington trading the New Zealand dollar was at US$0.8622 compared with US$0.8633 late Thursday in New York, and at A$0.9296 from A$0.9310.
        Looking ahead to next week, New Zealand jobs data will be key locally; the median in a Wall Street Journal poll of 14 economists is for the unemployment rate to fall to 5.8% in the first quarter from 6.0% in the fourth quarter of 2013, and for employment to be up 0.6% on the quarter, compared with growth of 1.1% in the fourth quarter.
        "Given very large surge last quarter, some payback likely even though the labour market clearly is on a tightening trend," Citi said in a research note.
        Write to Lucy Craymer at lucy.craymer@wsj.com, @lucy_craymer
        (END) Dow Jones Newswires

        May 02, 2014 00:54 ET (04:54 GMT)