HiFX Morning Update, May 5 2016

HiFX Morning Update, May 5 2016

NZDUSD 0.6878 -0.5%
NZDEUR 0.5985 -0.4%
NZDGBP 0.4745 -0.2%
NZDJPY 73.55 -0.1%
NZDAUD 0.9225 -0.1%
NZDCAD 0.8855 0.7%

The NZDUSD opens at 0.6878 (mid-rate) this morning.

The NZD has fallen further along with other commodity-linked currencies, as risk appetite continues to wane.

Overnight a plethora of U.S. data releases delivered mixed results with better than expected ISM Non-Manufacturing PMI (55.7 vs. 54.9) trade balance (-40.4B vs. -45.6B), and labour costs data (4.1% vs. 2.9%) releases off-setting a disappointing private sector employment report. The ADP report showed the private sector added 156k jobs in April well shy of economist’s estimates of an additional 193k jobs.

Construction PMI in the UK failed to meet economist’s estimates falling from 54.2 in March to 52.0 in April economist’s had been expecting a modest dip back to 54.0.

In the absence of any notable local data releases the main focus for investors will be Friday night’s U.S non-farm payrolls report.

Global equity markets continue to fall Dow -0.59%, S&P 500 -0.61%, FTSE -1.19%, DAX -0.99%, CAC -1.09%, Nikkei Closed, Shanghai -0.05%.

Gold prices have fallen another 1% to $1275 an ounce, WTI Crude Oil has retraced yesterday’s fall currently up 1.9% at $44.51 a barrel.

ends

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