David Chaston details the key news in 90 seconds at 9 am in association with Bank of New Zealand, with more on the euro cisis and the Greek debt aftershocks lurching to a big one, its Lehman moment. This is having a local impact on the big four Aussie banks who are finding investors like their debt offerings - they are a seen as safer than their global peers - this despite two major credit ratings agencies downgrading them last month.
The charging yesterday of Timaru accountant, Allan Hubbard, on 50 counts of fraud capped a year-long investigation, and may be the first in a busy series of announcements by the SFO and FMA over the next two weeks. These charges relate to Hubbard's Aorangi Securities, and further action is yet to be decided for related-party loans at South Canterbury Finance. His supporters are remaining staunch.
In Wellington, property developer and Phoenix-owner Terry Serepisos is sinking deeper into it, this time a court has ruled against him in a $1 million claim - which he did not oppose - and bankruptcy may be near for the embattled Apprentice star.
There was little action in the currency markets overnight with the NZ$ opening this morning at 80.84US cents and the TWI at 69.9. However, the oil price fell to under US$92/barrel but is now back up to over US$93.60. Gold is higher, back to where it was at the beginning of the month, and the Dow is higher, back over 12,000.
Later this week we will get the data on our first quarter GDP and our current account balance. You will recall our December quarter current account was in surplus, due to strong exports and the impact of receiving reinsurance payments for the Christchurch earthquake. Well, Statistics NZ has had a re-think about those re-insurance receipts - and yesterday it announced that it will be treating them as items in our Capital Account, rather than our Current Account. This change in treatment has the support of the UN, the World Bank, and the IMF. From here on, the money flowing into New Zealand from re-insurance payments won't be a reason for good Balance of Payments news.
No chart with that title exists.
We welcome your comments below. If you are not already registered, please register to comment
Remember we welcome robust, respectful and insightful debate. We don't welcome abusive or defamatory comments and will de-register those repeatedly making such comments. Our current comment policy is here.