NZ dollar eases after brief spike on govt spending announcement

By Jenny Ruth | Wed, 11 Dec 2019


The New Zealand dollar declined after a short-lived spike on news the government will spend $12 billion over five years on infrastructure. The kiwi was trading at 65.23 US cents at 5pm in Wellington, after earlier spiking to 65.55 cents, from 65.39 at 8am. The trade-weighted index was at 72.11 points from 72.25. Despite the additional spending, Treasury is forecasting the economy will grow 2.2 percent in the year ending June 2020, rising to 2.8 percent the following year and slowing to 2.4 percent in 2024. In May, Treasury had been for...