Bernard Hickey details the key news overnight in 90 seconds at 9am, including news the New Zealand dollar was the strongest performing currency on global markets overnight. (Update includes Fonterra confirming board meeting this morning to discuss payout) It rose to 72.1 USc and a 2 year high of 54.2 euro cents. This followed more bad news from Europe where talk has re-emerged that Germany may block the bailout package for Greece ahead of key regional elections on May 9. German voters hate the idea of bailing out Greece. The Greek government needs to refinance 8.5 billion euros of debt on May 19. This has pushed up Greek bond yields to over 9%. Investors now fear contagion of the debt crisis to Portugal. Meanwhile, the New Zealand dollar also rose sharply vs the Australian dollar to 78 Aussie cents from 76 cents last week. As the euro has fallen, investors have hunted for higher yielding currencies in emerging currencies. Some investors are also betting on a Fonterra payout increase this week and more talk from the Reserve Bank on Thursday of higher interest rates in the near future. A Fonterra spokesman confirmed a board meeting was due at 10.45am this morning and that a discussion about Fonterra's payout forecast was scheduled. Chairman Henry van der Heyden hinted in an email to farmers on Friday that a rise was possible from the current NZ$5.90/NZ$6.00/kg view for the almost completed 2009/10 year. Meanwhile, Australia's government will ban financial advisors from taking commissions.
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