A review of things you need to know before you go home on Wednesday; Co-op Banks cuts savings rate, SFF runs to altar, NZ #5 wealthiest, driverless cars racing towards us, swaps higher, NZD steady

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

No rate changes to report today.

The Co-operative Bank has cut its online savings account rate from 1.25% to 1%. It has made a similar reduction on other savings account products.

The Government today changed the cap for the Recognised Seasonal Employer (RSE) scheme in 2016/17 by raising it by 1,000 to 10,500, saying this allows horticulture and wine exporters to keep growing. It received the predictable political reactions from those opposed and those for.

Silver Fern Farms and Shanghai Maling have agreed to an early completion of their partnership, now likely to be mid December from the initial target of January 4, 2017. Shanghai Maling will invest approximately $267 mln in cash in return for a 50% stake, slightly more than the originally planned $261 mln. Most will go to pay down the bankers, but $57 mln will be held by the Co-operative, along with the Co-operative’s 50% shareholding in the new joint company.

Sentiment among managers at China’s largest companies ticked up slightly in November following October’s pullback, as gains in new orders and output fueled optimism and the recent depreciation in the yuan also helped, according to the latest MNI China Business Sentiment Survey. The MNI China Business Sentiment Indicator, a gauge of current business confidence, rose +1.7% to 53.1 in November from 52.2 in October.

Apart from Shanghai which is basically unchanged, most other equity markets are higher today, with the ASX200 up +0.8% and the NZX50 up +0.4%.

According to the Credit Suisse Global Wealth Report 2016, the world's wealthiest citizens in order are #1 Switzerland (NZ$800,000 per adult), #2 Australia (NZ$534,000), #3 United States (NZ$490,000), #4 Norway (NZ$443,000) and #5 New Zealand at NZ$424,000. Really?

A new report claims that the annual production of self-driving cars will reach 14.5 mln in 2025 just 8 years away, up significantly from only a few thousands in 2020, to give a global installed base of more than 22 mln consumer vehicles by 2025. The claim is that driverless vehicles will have a disruptive impact on transportation around the world and will ultimately lead to millions of professional drivers being made redundant. City-based taxi services will be one of the key early adopters and driverless cars will result in fundamental changes to society in general. It seems clear that the boundaries between private vehicle ownership, car sharing and rental fleets will increasingly become blurred. Point-to-point travel options will be ubiquitous, and cheap. Traditional public transport infrastructure may only have a short, limited life now. (And yet Auckland is 'investing' $3.4 bln+ in yesterday's rail.)

In Australia, the value of construction work done in the September quarter was -11% lower than for the same period a year ago. Most of the fall was in the 'engineering' category which is down -23%. Residential building provided the only bright spot, up +6.3% year on year.

Now that the TPP seems dead (or at least sidelined), the RCEP is likely to replace it, led by China. But there will be differences. This review sets them out. The RCEP lacks some of the important goals set for the TPP, including worker protections, targeting corruption, environmental protections, and controls on large corporations. Shallow sloganeers may have opposed the TPP, but its 'defeat' will lead to much worse outcomes.

Wholesale rates are a little higher today. The two year rate is up +2 bps, the five year is up +3 bps and the ten year is up +4 bps in local markets. The 90-day bank bill is down -1 bp to 2.03%.

The Kiwi dollar is just a little lower today than this time yesterday and is now at 70.8 USc. On the cross rates it is trading at a high 95.3 AUc, and is at 66.6 euro cents. That has taken the TWI-5 up to just under 76.4. Check our real-time charts here.

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Driverless cars doesn't make rail yesterdays solution. ( and why cant there be driverless trains). No one has yet explained how driverless cars reduce congestion . A car takes up just as much room , whether it has a driver or not.
And nobody has mentioned the main thing that will stop driverless vehicles on the road, they are a terrorist's dream come true.

Yeah I think driverless cars actually compliment high capacity public transport. Local Buses will be gone as will the private car, but I can't see any economic sense in having hundreds of thousands of driverless cars just to carry people along the same corridor during rush hour when a train can do it so much better.

But who knows. The only future proof transport investment is to do nothing.

Agreed just because you don't have a driver doesn't reduce the amount of cars on the road.

Ok less accidents however Train will always be quicker. Cars are yesterdays solution....the number 8 wire mentality kiwis have that means they do things on the cheap...

Unless of course the cars are flying lol

My three teenage daughters believe they are worth $ 1,272,000, just normal average kids, at school . I will have to locate their bank accounts.

Think how tough it is for a 8 child family in South Auckland trying to locate $ 4.24 million.

I may have misread the information, apparently its adults, the girls are worth nothing, 8 kids in South Auckland the same. I will wait until they are 18.

Well at least there are plenty of wealthy eligible blokes out there for them. :)

Doesn't seem that unreasonable for adults?

Most houses in NZ are owned by locals, even if the net equity was of the order $600m, then we are talking $200k odd per adult.

Add in farms, commercial property, business, shares, savings, furniture, cars... everything, double that isn't too far out of the question.

Interesting to see how much value there would be in all this if everyone put it on the market on the same day!

Shallow sloganeers may have opposed the TPP, but its 'defeat' will lead to much worse outcomes.

For whom?

According to Lawrence, the TTP was not so much a trade agreement as a strategic deregulatory device in the service of the international corporate elite and those on their payroll. Read more

Quoting Sputnik News? Youve got to be kidding, right? Why not quote Putin directly? Same thing.

you think thats bad I've started reading the Saker, mind you he is ex CIA but very Russian.

You think that's bad I read Roger Kerr's weekly forecasts and he never changes his shirt.

Thanks for the giggle, that really is very good.

Create a heavily over valued housing market and become one of the 'wealthiest' countries in the world. Yes it's that easy. We should all commend our past and present governments for their clever, taxless, housing policy.

It is really written anywhere but one of the main reasons central governments have welcomed higher houses is it means that the elderly are able to finance their own healthcare and not the state. It saves billions and billions.

That's why they conveniently took it out of the CPI calculations although now I see it is making a bit of a comeback. In the UK they are now using a CPIH statistic which includes housing inflation.

Interesting on the CS wealth report. It does feel as if there is more wealth arriving here via immigration and not just shonky money out of China.