Not at all. Banks have understood that the Courts are going to award the IRD thier taxes and therefore the banks are slugging their customers extra to get their tax money. It was never going to come off their bottom line nor from raising extra capital.
ASB hinted today that it would roll over and make a deal. At the same time raising its rates.
Cynical is what you'd have to say and here in NZ we will have to grin and pay or rather grit our teeth and as usual pay.

The Aussies will lead the way

http://www.businessspectator.com.au/bs.nsf/Article/NAB-forecasts-425-cas...

Agree Shorty, what's point of changing OCR, banks are ignoring it anyway, and make Bollard look silly.

@The BM: I thought the data suggested more ppl had gone to fixed?

Also, you are suggesting a 2%+ rise in what 3~4 months? ie 5.85% to 8%+....2.5% odd, thats insane (no insult intended)....even OZ who are bullish are looking at a max of 1.5%, probably < 1%, so you are saying three, 0.75% hikes... All this because prices are up a wee bit more than expected...so a bunch of economsts who couldnt predict the 2008 meltdown are now saying is a bit higher than they expected so lets all panic....yeah right...

hmmm I wonder what's going through Bollard's mind right now. In his shoes anyone sane must wonder "did I open my mouth too much and too early or have I called called it right". When's the next RB release? his words will be interesting to listen to.

regards

Rats....

@The BM: what you are saying is a 2%+ rise in 3~4months, thats insane (no insult intended)...so 3 x 75 basis point rises a year early...way too much...thats hugely agressive and Bollard by nature isnt that agressive...ho hum.

Also I thought "most" ppl were fixed? Im floating but I seem to be in the minority...

This is interesting to watch (though I guess Im in the cooking pot!)...its so like the Great Depression at times, same so called high brows in charge who are buggering it up....ie raise taxes or remove support too early and it will send us back into recession....aka 1931~1932....and what got ppl out of the GD was huge Govn spending that was WW2, that does not bode well.

Whats really interesting is from reading and listening to the "experts" on The Great Depression" is that even today there is no agreement on why and what caused it to be so bad and last so long....did FDR make it worse, better or did he stop it getting really bad? If after the event with all the data available and hindsight there still seems no consensus why are we confident that this time "those in charge" have any more of a clue?

regards