Businesses holding up OCR cuts
Businesses must realise that despite their costs jumping 10%, they can only raise prices 2% and must find savings and boost productivity, otherwise monetary policy won’t be eased and interest rates won’t fall.
Independent economist Tony Alexander says just as the Reserve Bank monetary policy over-loosened during and post the pandemic, it has now over-tightened and at some point it will cut interest rates rapidly. His best guess is just before the end of this year.
“Before then the RBNZ will hold out with minimal comment for as long as it can with good justification for doing so because of...MORE»
Mortgage borrowers hedge their bets on OCR coming down soonWednesday, May 8th, 11:02AM
The one-year fixed interest rate is the most popular for mortgage borrowers as economists continue to pick this November as possibly when the RBNZ might lower the OCR. MORE» |
Difference in scores a reflection of banking studyTuesday, May 7th, 1:18PM
The big gap in satisfaction scores between first place and the rest of the pack in Consumer NZ’s latest survey of the worst and best banks, reflects the findings of the Commerce Commission’s banking draft market study, Consumer NZ says. MORE» |
Westpac says 65% of mortgage customers more than 3 months ahead of repayments
Westpac New Zealand says about 65% of its mortgage customers were more than three months ahead on repayments at March 31, which helps to explain why fewer customers than it had expected are suffering hardship amid higher interest rates.
MORE»Westpac NZ added $1.44b of mortgages in the six months ended March
Westpac New Zealand's mortgages surged in the latest six months by $1.44 billion to $66.96 billion compared with growth of just $333 million in the six months ended September, the bank's latest disclosure statement shows.
MORE»Paying the cost of bureaucratic incompetence
In its next monetary policy statement (MPS), the RBNZ should signal that a drop in the OCR is imminent, Squirrel Mortgages chief executive David Cunningham.
MORE»Adviser's share of BNZ's new lending dipped in latest six months
Mortgage advisers accounted for slightly less of Bank of New Zealand's new mortgages in the six months ended March compared with the previous September half year , but adviser share of the overall portfolio continues to grow.
MORE»Mortgage arrears up and still rising slowly
Mortgage arrears continue to climb from recent lows and are expected to rise 0.7% by the end of the year, up from 0.5%, the Reserve Bank’s latest Financial Stability Report shows.
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