A review of things you need to know before you go home on Wednesday; another TD rate rise, Canterbury building consents surge, Trustpower on the block, swaps stable, NZD stable, & more

The government committed to 100% renewable energy by 2030,

Every time I check generation pages recently, can see that Coal (aka Huntly) is running full steam 24/7, and Gas is fired up around the clock, we've used proportionately less renewable energy this year than in a long time.

It's a big goal, it will be bloody expensive, and I'm happy to chip in my bit to pay for it, wonder if they actually plan to do anything towards it (outside of 1 x pumped hydro project).

https://www.oneroof.co.nz/news/39346

Auckland first home buyers are turning their attention to another Kiwi classic: the brick and tile unit.

Bayleys agent Dianne Burt, who sold a three-bedroom unit at 4/48 Rawhiti Road, One Tree Hill Auckland under the hammer last week for $1.155 million says that close to 70 people looked at the home, mostly first home buyers.

Twelve bidders registered for the auction, although only eight bid on the day, and six of them actively competed for the unit which had a 2017 council valuation of just $790,000.

. The ABS data show prices rose an average of just +1.1% over the past year. Analysts were expecting +1.4%.

Which of course is likely to be nonsense if the CPI were represented the price sensitivity and perception of a representative Australian citizen. A 1.1% increase would be barely noticeable to that individual.

Some more timid term deposit interest rates increases. Come on banks, it is time to start acknowledging the reality of increasing market rates, and to start increasing both mortgage and deposit rates

And Peter Harris on the wires , stating the RBNZ not meeting its employment objectives, no need to remove stimulus and low rates only one factor behind rising house prices. Always better to row the boat with two orrs.

Today, the iron ore price has risen again. But that has not stopped China dumping on Australia diplomatically, saying it "is sick". Meanwhile, China is increasing pressure on New Zealand exporters. reminding us of the consequences of straying from their "correct path".

What has been the Australian government’s reaction to China’s attempted rapprochement?

Not one senior Australian politician has responded favourably to Wang’s overtures. Instead, we’ve had more sabre-rattling.

On Sunday, Defense Minister Peter Dutton said that, while Australia would continue to work with its allies to achieve peace in the region, the chance of a conflict with China over Taiwan “should not be discounted.”

On the same day, Home Affairs Secretary Michael Pezzullo (who is slated to become the new secretary of the Department of Defense) delivered an Anzac Day message to his staff.

In the context of referring to escalating tensions over Taiwan, Pezzullo opined that “the drums of war” were beating and that Australia must be prepared “to send off, yet again, our warriors to fight.” He asserted that Australia must become “armed, strong and ready for war” and lavishly praised the rabid Cold War warrior, General Douglas MacArthur.

It would be difficult to imagine a more irresponsible or inflammatory statement than this, or a more dangerous evocation of Cold War rhetoric. Link

It seems to escape decision makers that to lower carbon emissions they actually need to pull finger and build some new generation. And if it’s renewables we need some new storage capacity.

There must be a good dam opportunity somewhere in the north island.

I suspect higher electricity prices will be a long term feature of New Zealands economy. The governments ban on drilling in 2018 had a chilling effect on investment in the sector overall and created an energy cliff that is now starting to take effect, we probably need a period of far higher sustained prices to coax investment back into the sector.

It's actually a classic case of what George Soros might describe as "reflexivity".