US debt ceiling dramas have markets on edge

Key highlights Sovereign debt issues in Europe are far from over, but were overshadowed by US debt concerns over July. Local data surprises; RBNZ more confident about recovery, and a September rate hike is now expected. The NZD sets fresh post float highs against the USD, and traded above 0.88 in early August.     Report prepared by: Christina Leung ASB Economist Phone: +64 9 369 4421 Fax: +64 9 302 0992