A deterioration in New Zealand's consumer......>

KIWI: A deterioration in New Zealand's consumer confidence, revealed in the

monthly ANZ survey, applied some pressure to the kiwi overnight. The soft

reading defied yesterday's optimistic remarks from RBNZ Governor Orr, who seemed

satisfied with how the August 50bps cut to the OCR makes its way through the

economy. Nonetheless, price action remained tight through the Asia-Pac session

as the region prepares for an impending week-long holiday in China.

- NZD/USD last deals at $0.6294, 4 pips worse off on the day. A fall below the

$0.6269-66 region, which limited losses on Sep 3 and over the last two sessions,

would bring the recent cycle lows of $0.6255 back into view. Conversely, a

clearance of the psychological barrier/23.6% retracement of the Sep 12-20 slide

at $0.6300/01 would open the 21-DMA at $0.6345.

- RBNZ Gov Orr blamed aggressive bank lending for fuelling farm debt.

- Looking ahead, ANZ business confidence survey, due for publication on Monday,

will add further insight on sentiment within NZ economy, following today's data.

NZ building approvals also come out on Monday.