NZ dollar holds gains

NZ dollar holds gains from RBNZ inflation outlook as US tax reform weighs on greenback

NZ dollar holds gains
The dollar held yesterday's gains after the Reserve Bank raised its forecast for the country's inflation outlook and brought forward by one quarter the chance of a rate hike, while the greenback dipped on renewed uncertainty over US tax reform, BusinessDesk reported.

The kiwi traded at 69.60 US cents as at 8am in Wellington from 69.52 cents yesterday. The trade-weighted index was almost unchanged at 73.81 from 73.82 yesterday.

Local data today include October retail spending on electronic cards and September guest nights, which will give an update on how consumer demand and the tourism sector are tracking.

Investors will also be watching for an outcome to the revised Trans-Pacific Partnership trade and investment pact at the APEC leaders' meeting in Vietnam.

The local currency increased to 4.6192 Chinese yuan from 4.6102 yuan yesterday and traded at 90.60 Australian cents from 90.52 cents. It was little changed at 52.91 British pence from 52.97 pence yesterday and slipped to 59.74 euro cents from 59.97 cents. The kiwi fell to 78.80 yen from 79.26 yen yesterday.


Related stories:
Official Cash Rate unchanged at $1.75%
Dollar falls as dairy drops