WELLINGTON, May 25 (Reuters) - The Australian dollar and New
Zealand dollar were weaker on Tuesday, as the rescue of a small
Spanish savings bank reignited investors fears about debt in the
euro zone, sending growth-sensitive assets lower.
* Aussie about $0.8226, compared with $0.8287 late on Monday and an overnight range of $0.8185 to $0.8364.
* Kiwi also slipping to $0.6690/00 after being at $0.6740 in late local trade on Monday and an offshore peak of $0.6788.
* Aussie and kiwi benefitted from a move back into risk early in the offshore session, helped by a modest recovery in Asian stock markets and rising commodity prices.
* However news of the Bank of Spain taking over a small savings bank sent jitters through the market, sending the euro lower, and causing Wall Street to extend its losses, as financial shares fell.
* The late turn in sentiment sends the Aussie and kiwi down against the safe-haven yen.
* The Aussie largely flat around 0.6686 euro while the kiwi slips back to about 0.5405 euro.
* Aussie off seven month low against the kiwi, holding around NZ$1.2225/35.
* Both Australia and NZ have only second tier data this week, meaning movements will continue to be dominated by offshore events, with the focus remaining on sovereign credit fears in Europe.
* Aussie expected to trade a broad $0.82 to $0.8350 range while kiwi expected to keep between $0.6650 and $0.68.
* NZ bonds firmer on risk-aversion, with yields dipping about 3 basis points across the curve. Aussie three-year bond futures up 0.01 point at 95.23 and 10-year contract 0.015 points higher at 94.68.
(Reporting by Adrian Bathgate)
((Wellington newsroom tel 64 4471 4234, fax +64 4 4736 212,
wellington.newsroom@reuters.com)) Keywords: MARKETS AUSTRALIA NEWZEALAND FOREX/BONDS (If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
* Aussie about $0.8226, compared with $0.8287 late on Monday and an overnight range of $0.8185 to $0.8364.
* Kiwi also slipping to $0.6690/00 after being at $0.6740 in late local trade on Monday and an offshore peak of $0.6788.
* Aussie and kiwi benefitted from a move back into risk early in the offshore session, helped by a modest recovery in Asian stock markets and rising commodity prices.
* However news of the Bank of Spain taking over a small savings bank sent jitters through the market, sending the euro lower, and causing Wall Street to extend its losses, as financial shares fell.
* The late turn in sentiment sends the Aussie and kiwi down against the safe-haven yen.
* The Aussie largely flat around 0.6686 euro while the kiwi slips back to about 0.5405 euro.
* Aussie off seven month low against the kiwi, holding around NZ$1.2225/35.
* Both Australia and NZ have only second tier data this week, meaning movements will continue to be dominated by offshore events, with the focus remaining on sovereign credit fears in Europe.
* Aussie expected to trade a broad $0.82 to $0.8350 range while kiwi expected to keep between $0.6650 and $0.68.
* NZ bonds firmer on risk-aversion, with yields dipping about 3 basis points across the curve. Aussie three-year bond futures up 0.01 point at 95.23 and 10-year contract 0.015 points higher at 94.68.
(Reporting by Adrian Bathgate)
((Wellington newsroom tel 64 4471 4234, fax +64 4 4736 212,
wellington.newsroom@reuters.com)) Keywords: MARKETS AUSTRALIA NEWZEALAND FOREX/BONDS (If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.