25 Mar 2015
New Zealand trade surplus misses estimates – TradeTheNews
FXStreet (Barcelona) - The TradeTheNews Team shares the key developments in the New Zealand market – the tradebalance data release, and interim report out of Fonterra.
Key Quotes
“Trade data out of New Zealand was the most notable economic event in an otherwise quiet session. February marked the 2nd consecutive surplus, though well below estimates, sending NZD/USD down by about 35pips below 0.7630 in the aftermath. Both exports and imports were at roughly NZ$3.9B - the former missing consensus and the latter beating by NZ$0.2B.”
“Among the notable components, shipments to China plunged by 36% y/y and the overall dairy exports were down 42%, even though US-bound shipments rose by over 25%.”
“Interim report out of Fonterra was also less than inspiring. Net profit fell to NZ$183M v NZ$206M y/y, and even though Fonterra affirmed its FY14/15 payout of NZ$4.70/kg, its forecast for overall cash payout including dividend was reduced by 5c to NZ$4.90-5.00/kg.”
“Fonterra CEO said the results are "below our farmers expectations... a snapshot of tough conditions in dairy with variable production, demand and pricing”."
Key Quotes
“Trade data out of New Zealand was the most notable economic event in an otherwise quiet session. February marked the 2nd consecutive surplus, though well below estimates, sending NZD/USD down by about 35pips below 0.7630 in the aftermath. Both exports and imports were at roughly NZ$3.9B - the former missing consensus and the latter beating by NZ$0.2B.”
“Among the notable components, shipments to China plunged by 36% y/y and the overall dairy exports were down 42%, even though US-bound shipments rose by over 25%.”
“Interim report out of Fonterra was also less than inspiring. Net profit fell to NZ$183M v NZ$206M y/y, and even though Fonterra affirmed its FY14/15 payout of NZ$4.70/kg, its forecast for overall cash payout including dividend was reduced by 5c to NZ$4.90-5.00/kg.”
“Fonterra CEO said the results are "below our farmers expectations... a snapshot of tough conditions in dairy with variable production, demand and pricing”."