Here are the key things you need to know before you leave work today.
MORTGAGE RATE CHANGES
ANZ has cut its 6 month, one year and two year mortgage rates. Kookmin Bank have reduced their 6m, 1yr and 2yr rates.
TERM DEPOSIT RATE CHANGES
Kiwibank has trimmed a few key rates from 3 months to 6 months.
THE EXPANSION CONTINUES
The service sector is still expanding at a healthy clip, according to the BusinessNZ-BNZ survey. In September it was at 54.4 index level, almost the same as for August. BNZ however sees the September data as inherently more positive than the August one. In Australia, this PSI is at 52.4, while in the US it is barely expanding at 50.9.
THE GROWTH HAS WANDERED OFF
In the year ended August 2019, total guest nights rose just +1.4% to 40,523,000 from the August 2018 year. Domestic guest nights rose +4.0%, while international guest nights fell -2.0% over the same period. The annual total guest nights growth rate has eased from 2018 due to falling international guest nights. This continues a general downward trend since the spring of 2016.
LET'S PLAY 'SPOT THE INFLATION'
The consumer price index is due to be updated for the September quarter on Wednesday. We may have just seen its biggest quarterly price rises in a year - and yet at the same time annual inflation could drop to an 18 month low. David Hargreaves takes a closer look.
EQUITIES IN FAVOUR
Equity markets are now open in Asia, post the China-US mini trade deal. Shanghai is up +1.0%, Hong Kong up +0.6% and both a bit more restrained than the Wall Street rise on Friday of +1.1%. Tokyo is closed today for a public holiday. The ASX200 is up +0.7%, while the NZX50 is starring with a +1.3% rise so far, juiced up by both SkyTV and F&P Healthcare.
SWAP RATES UP FURTHER
Wholesale swap rates are up again adding to the steepening trend. The two year is up +1 bp, the five year is up +3 bps, and the ten year is up +4 bps. The 90-day bank bill rate unchanged however at 1.03%. Australian swap rates are higher in a similar move to NZ. The Aussie Govt 10yr is up another +4 bps to 1.04%. The China Govt 10yr is up +4 bps at 3.20%. The NZ Govt 10 yr is up another +5 bps to 1.21%. The UST 10yr yield is leading them all higher, up from Friday NZ time and now at 1.73% but down slightly from the close of trading in New York.
NZ DOLLAR HOLDING
The Kiwi dollar is holding but marginally on the soft side today and is now just on 63.1 USc. Against the Aussie we are a little softer at 93.1 AU cents. Against the euro we are at 57.2 euro cents. That means the TWI-5 is down marginally at 68.4.
Bitcoin is lower today at US$8,276 and that is a drop of -2.8%. The bitcoin price is charted in the currency set below.
This chart is animated here.