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The New Zealand dollar tumbled almost 1 US cents after the Reserve Bank said interest rates will remain at a record low through this year and hinted at a cut to the official cash rate if the currency was higher than justified by economic fundamentals. The kiwi fell to 81.66 US cents from 82.60 cents immediately before the statement. The …

A sharp drop in an over-valued New Zealand dollar that created inflationary pressure would need a monetary policy response, according to the Reserve Bank. The Reserve Bank has revised up its projections for the local currency on a trade-weighted basis as the kiwi remains in favour against the backdrop of increasingly upbeat global financial markets and a flood of money …

Reserve Bank governor Graeme Wheeler held the official cash rate at 2.5 percent, as expected, saying the benchmark rate is expected to move this year amid an uneven economic recovery. The kiwi dollar dropped on the news “The overvalued New Zealand dollar is undermining profitability in export and import competing industries, and worsening drought conditions are creating difficulty in much …

Arid conditions across the country that have led to a drought being declared in several North Island regions and kicked off early livestock slaughter threatens to derail agricultural production down the line, according to the Reserve Bank. The dry conditions are weighing on the primary sector, and are expected to lead to weaker milk production in the latter half of …

The New Zealand dollar was little changed ahead of the Reserve Bank’s statement as traders ponder its assessment of the impact of drought, a high kiwi dollar and a hot Auckland property market on the outlook for the economy. The local currency traded at 82.53 US cents from 82.50 cents at 5pm in Wellington yesterday. The trade-weighted index rose to …

A report showing US retail sales in February far exceeded forecasts supported Wall Street, underpinning expectations the American economic recovery is here to stay with help from the Federal Reserve. Retail sales jumped 1.1 percent last month, following a revised 0.2 percent rise in January. It was the biggest climb since September and far better than the 0.5 percent increase …

The New Zealand dollar fell below 80 Australian cents for the first time since January as the drought across much of the North Island weighs on investors’ confidence in the local recovery, and as the Reserve Bank prepares to review monetary policy tomorrow. The kiwi fell as low as 79.79 Australian cents, and traded at 79.91 cents at 5pm from …

Telecom Corp, the country’s biggest phone company, has kicked off its structural overhaul by whittling down the services offered at its Gen-i Australia unit in a move that will see 120 jobs go. The unit will focus on supporting large corporate customers with specific trans-Tasman IT requirements and exit other activities, Telecom said in a statement. That will see headcount …

New Zealand food prices fell last month led by cheaper, meat and in-season fruit and vegetables, though milk prices rose to a nine-month high. The food price index fell 0.3 percent in February, following a 1.9 percent a month earlier, in its sixth decline in seven months, according to Statistics New Zealand. Annual food prices decreased 0.1 percent. Fruit and …

The New Zealand dollar was little changed as Wall Street’s rally to record levels ran out of puff and traders pondered the effects on the economy of widespread drought in the North Island. The kiwi traded at 82.45 US cents from 82.44 cents at 5pm in Wellington yesterday. The trade-weighted index was at 76 from 76.09. The Dow Jones industrial …