New Zealand Taxation & Financial News » Kiwi

Kiwi Hit 6 Year Low on Momentous Day

Editor — Wed, 21 Jan 2009 06:11:50 +0000

The Inauguration of Barack Obama, release of 2008 inflation figures and a losing day on Wall St saw the New Zealand Dollar hit a 6 year low against the U.S. Dollar (greenback).

The New Zealand Dollar (Kiwi) reached a value of US51.65 cents.Further, the Kiwi reached a seven year low of 46.98 against the Japanese Yen.

The falls came amidst similar moves from many world currencies. On a global scale this can be attributed to the speech of Barack Obama, which did not reveal any new details regarding the U.S. Economic recovery package. The lowest points for the Kiwi against both the Yen and Greenback came near the closing of the Presidential Speech.

The fall of the Kiwi can also be attributed to the low sales economic figures for the month of December. These came as a surprise to economists who predicted better times due to enacted and oncoming tax cuts.

The Kiwi had made some recovery against both the Yen and Greenback by trade closing.

Kiwi Rises Against Greenback and Yen in New Year

Editor — Tue, 06 Jan 2009 03:19:35 +0000

An improved tax outlook in the U.S. and best Christmas in record in NZ, sees the New Zealand Dollar (Kiwi) rise against both the U.S. Dollar (Greenback) and the Japanese Yen.

With hopes pending on President Elect Barack Obama’s proposed U.S. Economic stimulus package, American investors are apparently more open to the prospects of higher yield yet higher risk investments. In effect lowering demand for safer currencies like the Japanese Yen and raising that for the likes of the Kiwi. The package prosposes to aid joblessness and relieve tax payers earning below USD$200,000 a tax break of USD$500, or USD$1,000 for couples.

Combined with the highest Christmas season spending on record and positive first weeks of 2009 New Zealand Stock Exchange trading, the Kiwi is seeing positive resurgences against numerous currencies. The kiwi has seen a seven week high against the Yen, reaching 54 Yen, and a month high against the Euro just below 0.425.

2008 Worst Year for New Zealand Dollar Ever

Editor — Fri, 02 Jan 2009 23:26:18 +0000

The year 2008 saw the highest fall in the value of the New Zealand dollar against the U.S. Dollar.

Amidst world financial crises in 2008, the New Zealand Dollar (also known as the Kiwi) saw itself both at the highest levels it has reached in the last 23 years and experiencing the biggest drop of its lifetime. On March 14th, the New Zealand Dollar was traded at 82.13 U.S. cents to the dollar. On the 31st of December 2008, the Kiwi was trading at 57.93 cents U.S. Almost a 30% drop.

According to New Zealand Prime Minister John Key, in an interview conducted on the 7th of December, the New Zealand Dollar could even dip below the 50 cent mark in 2009. While according to calculations done by Bloomberg, based on the average forecast of 39 different financial institutions, the Kiwi will drop to 52 cents in the second quarter of 2009, and raise back to 55 cents by the end of the year.