At the risk of repeating ourselves, the New Zealand Dollar was again top of the one-day performance table on Thursday and has now occupied this spot for five of the past six trading days. This time, however, it had to share the honours with the euro. The Kiwi reached a high in the New York afternoon of USD0.7255; the highest since September 26th when it was just beginning its post-Election slide all the way down to 0.6800 in late November. Overnight in Asia it extended gains to 0.7270 but has subsequently slipped around 20 pips during the European morning.
Given that the remarkable rally in the NZD has come without the support of any fresh incoming economic news (apart from Wednesday’s QV house prices), November building permits data were never likely to be a big market mover. Nonetheless, Statistics New Zealand always provide a fascinating amount of detail in their economic releases and they are an endless source of information and entertainment for your author. We know that not only did November’s numbers show an 11% m/m increase after 10% drop in October, but that within the total of 3,262 new dwellings there were 1,870 houses, 577 townhouses, flats, and units (the highest number on record), 272 retirement village units and 543 apartments (a 9-year high). Wouldn’t it be nice if official statisticians elsewhere provided such detail and color in their often very dull Press Releases.
The New Zealand Dollar opens this morning in North America at USD0.7255 with NZD/CAD at 0.9085.