Economy

Kiwi recovers after cattle disease news


The New Zealand dollar dipped on Monday after the Ministry for Primary Industries said a cattle disease had been detected in a dairy herd in South Canterbury.

But it swiftly pared its losses on the back of a weaker USD ahead of the US Federal Reserve’s two-day policy meeting and events across the Tasman.

The kiwi traded at US74.38c at 5pm versus US74.33c at 8am in Wellington and 74.32c late Monday but dipped to 74.02 when MPI said the cattle disease mycoplasma bovis has been detected in a dairy herd in South Canterbury, the first known outbreak here.

“The dairy herds headline saw it sell off temporarily, only to rally straight back up on a weaker (US) dollar,” said Ross Weston, a senior trader at Kiwibank.

The fact that MPI said the cattle disease does not infect humans and presents no food safety risk coupled with the weak greenback saw it recover very quickly, he said.

“Everyone is setting up for the Fed and looking for some confirmation that the string of weak inflation outturns is go…

Read the full article at: http://www.news.com.au/finance/business/breaking-news/kiwi-recovers-after-cattle-disease-news/news-story/35da2f8d0921818c0abef157e0f6e0de

Previous post

Question MasterChef viewers were asking

Next post

Uber driver caught in oral sex row