What happened Tuesday

A review of things you need to know before you go home on Tuesday; UDC shines, Turners absorbed, new local crude oil pumping, swap rates stop falling, NZD gains

2nd Dec 14, 4:00pm by David Chaston

For Tuesday, December 2, 2014. <a href="http://www.shutterstock.com/">Image sourced from Shutterstock.com</a>

Here are the key things you need to know before you leave work today.

TODAY'S MORTGAGE RATE CHANGES
There were no changes today.

TODAY'S DEPOSIT RATE CHANGES
Asset Finance and NZCU Baywide have cut term deposit rates today.

SMEs BORROW STRONGLY
ANZ's finance company UDC has today posted a +20% rise in annual profit as lending grows strongly, especially to forestry sector and for new cars, .

TURNERS ABSORBED
Resurgent listed finance company Dorchester has completed its takeover of Turners Car Auctions today.

PUBLIC TRANSPORT NOT ATTRACTIVE FOR MOST
Statistics NZ today released a study of commuting patterns in Auckland using data for the period 2006 to 2013. Essentially they found that cars are the main mode of commuting and they have remained dominant over the whole period falling to only 83% by 2013. In fact only 25% of people used public transport to access the CBD - that is, 75% don't.

CRUDE PRICES DOWN, LOCAL PRODUCTION UP
One of five new oil wells in the Maari development 80 kms off the Taranaki coast has begun production today, pumping 4,500 barrel/day. The others will come on stream progressively. Spending on exploration and development activity over the past two years totaled nearly $3 bln. Announcements in the next Block Offer are expected to be made soon, before the end of the month.

WHOLESALE RATES
Swap rates rose today even though benchmark bond yields stalled in New York. Today one year swaps rose +1 bp for one year, +3 bps for two and three years, and +4 bps for four to ten years. The 90 day bank bill rate was unchanged at 3.67%.

OUR CURRENCY HOLDS
Check our real-time charts here. The NZ dollar has held up from the opening rates this morning against both the greenback and the Aussie. It is now at 78.7 USc, at 92.8 AUc, and the TWI is at 78.6.

You can now see an animation of this chart. Click on it, or click here.

Daily exchange rates

Select chart tabs

Source: RBNZ

Source: CoinDesk

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.

3 Comments

by Henry_Tull | 2nd Dec 14, 7:28pm 1417501715

for later on today/morning, not expecting no.1 best buyer much.

For the next event: Looking back to this time last year, WMP volumes are 26% lower than the December, 2013 auction where 34,500 tonnes was offered.

SMP volumes are 39% higher this auction over the 3,640 tonnes offered last year. AMF volumes are 12% lower compared to the 3,425 tonnes last year.

http://agrihq.co.nz/article/fonterra-gdt-volumes-same-as-forecast-december-2-gdt?p=227

and from an outsider observer....

The point is that Beijing tends to lower tariffs when the domestic market needs particular imports but will use regulatory and other obstacles selectively to achieve its domestic policy priorities of protecting domestic firms when it is needed for the latter to survive and thrive against international competitors -- or when foreign firms threaten to become too dominant. In this sense, China remains only partially committed to free and open trade as a tactical fix to increase the competitiveness of the Chinese economy and Chinese firms. Beijing still wants its firms to ‘win’ in the end, or at least hold their ground.

http://www.businessspectator.com.au/article/2014/11/18/china/reality-check-china-australia-fta

by Henry_Tull | 2nd Dec 14, 11:51pm 1417517481

Bidder eligibility and total supply Each seller determines which bidder can purchase their product and the maximum quantity each bidder can bid on, by assigning eligibility. Total eligibility represents the maximum quantity bidders can purchase. This chart shows bidder eligibility and supply available to bidders at each trading event*. The ratio of eligibility to supply indicates how much eligibility (in metric tonnes) is available per one metric tonne of supply. http://www.globaldairytrade.info/assets/Uploads/resources/GDT-Chart-Focus-interactive-September-2014.pdf