WELLINGTON, New Zealand--The New Zealand dollar is unchanged against the U.S. dollar after paring early losses on better-than-expected local trade data.
By Lucy Craymer
Greg Gibbs, currency strategist at RBS, said there was an immediate fall in the New Zealand dollar following the release of the central bank's statement of intent, an annually released document that outlines its plan for the next three years, as it provided some negative quotes.
"The opening paragraph said: New Zealand's economy continues to grow at an annual rate of around 3%,... However, headwinds to growth include a softening in the Chinese and Australian economies, a sharp fall in dairy incomes and the persistence of the New Zealand dollar at unjustifiable and unsustainable levels."
The New Zealand dollar pared its losses when data released by Statistics New Zealand showed a surprising trade surplus in May.
Statistics New Zealand said the country recorded a 350 million New Zealand dollar (US$241 million) trade surplus for May. However, the annual balance remained in deficit, recording a deficit of NZ$2.57 billion for the year end May 31.
The median expectation in The Wall Street Journal's survey of nine economists was for a deficit of NZ$100 million in May, and a NZ$2.9 billion surplus for the year.
"Today's trade data were clearly a net positive for the nation's current account," said Bank of New Zealand's senior economist, Craig Ebert.
He said Bank of New Zealand now estimates current-account deficit for the year to June 2015 at NZ$8.8 billion, or 3.7% of GDP.
In late Wellington trading, the New Zealand dollar was at US$0.6890 compared with US$0.6896 and at A$0.8926 versus A$0.8920 late Thursday.
Write to Lucy Craymer at lucy.craymer@wsj.com, @lucy_craymer
(END) Dow Jones Newswires
June 26, 2015 02:18 ET (06:18 GMT)
#FX
#Forex
#SaleForex
#NewZealandDollar
#UnchangedLate
#AfterParringLosses
0 Response to "New Zealand Dollar Unchanged Late After Parring Losses"
Thanks for give comment.