By Dan Bell
The NZDUSD opens at 0.6442 (mid-rate) this morning.
The NZD along with global equities slid lower on Friday as investors continued to chase yield.
Yield on the benchmark US ten-year note closed higher for the third consecutive session rising by 2.8 basis points to 3.225%, its highest closing level in seven years.
Although Friday’s US employment headline number for September fell well short of its expected result (134k jobs Vs 185k jobs) upward revisions to August more than made up for the shortfall. The report also showed unemployment fell to 3.7%, its lowest level since 1969, in September, down from 3.9% in August. Economists had expected unemployment to edge down to 3.8%.
Both the EUR and the GBP continue to benefit from headlines suggesting that a Brexit deal is imminent, although both parties are still struggling to solve the issue of the Irish border.
Trading volumes are likely to be light today with the US enjoying a long weekend celebrating Columbus Day.
Global equity markets closed out the week broadly lower, – Dow -0.68%, S&P 500 -0.55%, FTSE -1.35%, DAX -1.08%, CAC -0.95%, Nikkei -0.80%, Shanghai Closed.
Gold prices remained flat on Friday closing out the week at $1,202 an ounce. WTI Crude Oil prices continued to fall on Friday, closing out the week at $74.26 a barrel.
Current indicative rates:
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Dan Bell is the senior currency strategist at xe money transfer in Auckland. You can contact him here »