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The New Zealand dollar fell and US stock futures soared after bookmakers readjusted their odds to make President Trump the frontrunner to win the US election.
The New Zealand dollar fell more than 1 cent to 66.3 cents on Wednesday afternoon before making a stunted recovery to 66.6 cents at 5 pm.
The US S&P Futures Index, which measures confidence in the US While equity markets are closed, fell 58 points to 3,336 shortly before 4pm, before rising sharply.
The index rose 2.6 percent in a matter of minutes to 4223 at 4:20 p.m. when traders considered the new possibility of a surprise Trump victory.
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The NZX50 Index closed 0.6 percent higher at 12220 after losing and then regaining most of its 1 percent morning gain.
Rafiq Maqbool / AP
The eyes of investors around the world are on the US elections.
The ASX200 was up 0.1 percent at 6,075 at 5 p.m. New Zealand time, after its own roller coaster.
At around 4 p.m. Wednesday afternoon, some bookies were only giving Joe Biden a 3: 1 chance to win the presidency, before adjusting the odds as pundits struggled to sweat a lot over him. likely result in key states on the battlefield.
University of Otago economics professor Dennis Wesselbaum warned last week that the worst short-term outcome for New Zealand’s economy could be a disputed outcome followed by months of uncertainty.
A clear but mixed result, with the Senate flipping Democrats and Trump retaining the presidency, could also create problems of its own, he said.
Hamilton Hindin Greene’s financial advisor Grant Davies said some clients were putting off investing until the dust settled.
“The coin is a bit off,” he said at 3pm.
“Increased uncertainty has probably caused the market to pull out a bit.
“It’s still early, but obviously the market wouldn’t want this to go to court and anything else,” he said.
