Reversing the previous day’s dynamics, the NZD and AUDhave been key underperformers over the past 24-hours.The NZD/USD sits at 0.8230 this morning. The NZD started on the back-foot yesterday morning afterFonterra made its payout announcement. Confoundingexpectations (including our own) for an increase, Fonterraheld the 2013/2014 milk price at $8.30/kgMS and cut itsdividend to 10c from 32c. Overall income from the seasonwill still be up by about $5b, including an 8-9% increase inproduction, so a big boost to the economy. Butexpectations for even more were likely disappointedyesterday.
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