N.Z. Dollar Rallies Versus Peers Amid Japan Stimulus Speculation
Australia’s dollar approached the strongest in more than two weeks versus its U.S. counterpart as commodities gained. Both the Aussie and the New Zealand currency, called the kiwi, touched for a second day the highest level against the yen in more than four years. A report due this week is forecast to show an increase in retail sales in Australia.
The Aussie rose 0.2 percent to $1.0503. It reached $1.0513 earlier, after touching a more-than two-week high of $1.0527 on Jan. 3. Australia’s dollar reached 92.85 yen today, the highest level since September 2008, before trading at 92.22 yen, down 0.2 percent.
Standard & Poor’s GSCI Index of 24 raw materials rose for the first time in three days, gaining 0.3 percent.
Japan’s government will announce 12 trillion yen ($137 billion) of fiscal stimulus this month to boost the nation’s shrinking economy, the Yomiuri newspaper said yesterday. The extra budget for this fiscal year through March will include 5 trillion yen to 6 trillion yen of public-works spending, the newspaper reported, without saying where it obtained its information.
Australia’s Bureau of Statistics will probably say on Jan. 9 that retail sales rose 0.3 percent in November after stalling the previous month, according to the median estimate of economists surveyed by Bloomberg News.
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