Any thoughts on the exchange rate at present?

[Leo]

Originally Posted by Mamee & Co

...The last couple of months have made a mess of our financial planning...

Ugh! Mine too!

"The best laid schemes o' mice an' men gang aft agley"
Excerpt from a novella by Nobel Prize-winning author John Steinbeck

[Super_BQ]

messages from farmers who are selling way below cost and are going broke.....they quoted 50-60 cents as being a reasonable US-Kiwi rate.

Last year when the Kiwi $ was in the high 70s all the farmers were complaining. Really, there is no ideal "reasonable US-Kiwi rate". I'm pretty sure NZ today is a different country than to what it was say in the 1960s - in terms of the % makeup of the economy. What we need to know is what % of the NZ GDP is tied to farming exports? I would be surprised if it exceeds the tertiary retails sector (which predominantly benefits from a strong Kiwi$ - cheap imports).

BQ

[doowrehsij]

2.25 this morning! ..and stock markets down. Interesting times ahead!

[Gnomon]

I think the NZ$ has turned a corner and has started to weaken.

Norway put up interest rates and if GB or US hint at rates move then at long last it might see a weaker NZ$.

David

[benandclare]

Originally Posted by Super_BQ

Last year when the Kiwi $ was in the high 70s all the farmers were complaining. Really, there is no ideal "reasonable US-Kiwi rate". I'm pretty sure NZ today is a different country than to what it was say in the 1960s - in terms of the % makeup of the economy. What we need to know is what % of the NZ GDP is tied to farming exports? I would be surprised if it exceeds the tertiary retails sector (which predominantly benefits from a strong Kiwi$ - cheap imports).

BQ

http://www.indexmundi.com/new_zealan...by_sector.html

[icemaiden]

$2.28 today - looking more promising. Having said that, when I started this thread, it was nearer $2.50!! It's got a long way to go yet ...

[Mamee & Co]

At least the current trend is in the right direction for those of us to still transfer money to NZ.

BTW Leo your quote is not from John Steinbeck, he borrowed it from Scottish Poet Robbie Burn's poem "To a Mouse". I need being forced to read all those poems in school would one day come in handy (mind you we had to read "Of Mice and Men" too!)

[Madoxen]

lol I was made to read of mice and men also, is funny the things that u remember

[nickiware]

Anyone have a crystal ball is $2.25 good, or should i be brave and wait a bit longer?

[Fern01]

Last year when the Kiwi $ was in the high 70s all the farmers were complaining.

New Zealand agriculture is the largest section of the economy.The dollar is over valued & way too high for all exporters.

The Economy of New Zealand is a market economy which is greatly dependent on international trade, mainly with Australia, the European Union, the United States, China and Japan. It has only small manufacturing and high-tech sectors, being strongly focused on tourism and primary industries like agriculture (though both sectors are highly profitable).