Weekly Commentary

3

1
Pssst... pass it on
Mon, Dec 15 2008, 06:01 GMT
by Westpac Institutional Bank Team
Westpac Institutional Bank
next report will resume on 12 january 2009
New Zealand’s terms of trade fell 2.3% in the September quarter, the second decline after reaching a 34-year high in March.
The darkening outlook for the global economy has seen world commodity prices fall sharply in recent months but, through an accident of timing, they remained higher on average through Q3 than in Q2.
While the fall in the terms of trade was in line with our forecasts, the weaker exchange rate had a much larger impact than we expected on both sides of the ledger. Export prices rose 8.6%, with meat, fish and aluminium recording double-digit gains. Even dairy prices rose another 7.4% to a new high – the terms of trade reflects the contracted prices paid to Fonterra, which lagged the run-up in spot prices and will be equally slow to reflect the decline.
Meanwhile, import prices rose by 11.1% – the largest quarterly increase in 24 years – led by a 31% rise for petroleum products, and sharp increases for items such as fertiliser (+67%) and iron and steel (+26%). This is not entirely a new story, since we know that annual consumer price inflation reached a peak of 5.1% in this quarter.
But it underscores the fact that some importers have had to absorb a lot of pain in the last year.
Published on
Mon, Dec 15 2008, 06:03 GMT
Archive
- Peeking under the hood
Published On Mon, Nov 16 2009, 06:03 GMT
- Laboured recovery
Published On Mon, Nov 9 2009, 06:55 GMT
- Suspended sentence
Published On Mon, Nov 2 2009, 05:54 GMT
- On tenterhooks
Published On Tue, Oct 27 2009, 06:17 GMT
- Is that it?
Published On Mon, Oct 19 2009, 06:00 GMT
[ View All ]
Related reports
Intraday Forex Technical Report - U.S. Update: More dollar corrections by FXstreet.com Independent Analyst Team
Fri, Nov 20 2009, 16:15 GMT
Market Session Recaps - London Session by FOREX.com
Fri, Nov 20 2009, 11:37 GMT
Euro Inflation Update - In November, the eurozone inflation rate will turn again positive by UniCredit Group
Fri, Nov 20 2009, 11:26 GMT
Daily Forex Overview by Dukascopy Swiss FX Group
Fri, Nov 20 2009, 11:08 GMT
Market Session Snap-Shot by ACM - Advanced Currency Markets
Fri, Nov 20 2009, 11:06 GMT
newzealand, indicator, tradebalance, eurnzd, nzdusd
View All
Related content
US Regional and State Unemployment Rates for Oct-STATS
Dow Jones | Fri, Nov 20 2009, 15:29 GMT
US Regional and State Unemployment Rates for Oct-STATS
Dow Jones | Fri, Nov 20 2009, 15:21 GMT
DATA SNAP: Italy Sep Indus Orders +5.2 On Mo; -20.4% On Year
Dow Jones | Fri, Nov 20 2009, 09:15 GMT
DATA SNAP: Dutch Consumer Sentiment Improved In November
Dow Jones | Fri, Nov 20 2009, 08:43 GMT
German Producer Prices Flat In Oct Vs Sep
Dow Jones | Fri, Nov 20 2009, 07:09 GMT
newzealand, indicator, tradebalance, eurnzd, nzdusd
View All
Trading for a living » Some moves before CPI
Wed, Nov 18 2009, 09:46 GMT
The Advisor Weblog » Majors’s hourly perspective pre American session
Mon, Nov 16 2009, 15:46 GMT
Tech Trading » NZD/USD Assaulting resistance area
Mon, Nov 16 2009, 12:02 GMT
The Advisor Weblog » Hourly perspective pre American opening
Fri, Nov 13 2009, 15:04 GMT
The Advisor Weblog » Starting the day
Fri, Nov 6 2009, 10:59 GMT
newzealand, indicator, tradebalance, eurnzd, nzdusd
View All
SPECIAL EVENT: Trade Non-Farm Payrolls LIVE - 29th Edition
Wayne McDonell | Fri, Oct 3 2008, 11:30 GMT
Back to Basics: RSI
Adam Rosen | Mon, Oct 13 2008, 13:00 GMT
Dan Blystone's Daily Briefing
Dan Blystone | Wed, Oct 15 2008, 16:00 GMT
Dan Blystone's Daily Briefing - Free Access Day
Dan Blystone | Thu, Oct 16 2008, 16:00 GMT
Back to Basics: MACD
Adam Rosen | Wed, Oct 22 2008, 14:00 GMT
newzealand, indicator, tradebalance, eurnzd, nzdusd
View All
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our
user agreement. Please read our
privacy policy and legal disclaimer.
Trading foreign exchange on margin carries a high level of risk and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading and seek advice from an independent financial advisor if you have any doubts.
Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. FXstreet.com has not verified the accuracy or basis-in-fact of any claim or statement made by any independent author: errors and Omissions may occur.
Any opinions, news, research, analyses, prices or other information contained on this website, by FXstreet.com, its employees, partners or contributors, is provided as general market commentary and does not constitute investment advice. FXstreet.com will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.
©2009 "FXstreet.com. The Forex Market" All Rights Reserved.