Here are the key things you need to know before you leave work today:
MORTGAGE RATE CHANGES
No changes to report today.
TERM DEPOSIT RATE CHANGES
SBS Bank bumped up its 12 month TD rates by +5 bps today.
Businesses remain pessimistic about the economy with cost pressures intensifying, according to the NZIER. The post-election blues haven't lifted yet. Remember, consumer confidence is a lagging indicator, business confidence a leading indicator (although some have suggested it may involve partisan bias).
New Zealand's screen industry grew +15% to $1.1 bln in 2017. Auckland’s film production revenue was at $489 mln in 2017 up +37%. The number of businesses involved in Auckland grew +9% in the year. Wellington’s film production revenue decreased slightly from 2016, down to $631 mln in 2017.
HOUSING TENURE UPDATE
As at March 2018, 33.6% of all houses in New Zealand were rented, according to Stats NZ. That is a record high.. That is 625,900 dwellings that are rented, up +16,700 from the same month a year ago. The growth in owner-occupied dwellings was on +9,300 in the same period. Still, that +9,300 increase was the most in any year since 2008.
Our rural readers may have noticed that our rural market price tracking charts had not been updated since December 2017. We are pleased to report that these resources are now all back updated and current.
Inland Revenue’s customer services will be unavailable for just over four days this week as it rolls out the next stage of its program "to transform the tax system". They call it a "brief IR shutdown". myIR will be switched off from Thursday afternoon at 3pm until Tuesday 17 April at 8am so these latest round of changes can be made.
SECOND SUCCESSIVE DROP
In Australia, their latest business confidence survey by four-pillar bank NAB also recorded a fall. Their business conditions index declined by -6pts to +14 index points, although it remains well above its historical average. The business confidence index fell by -2pts to +7 index points, and it is now only just above its historical average of +6 index points.
BENCHMARK INTEREST RATES UNCHANGED
Local swap rates are unchanged today. The UST 10yr yield is now at 2.81%, up +3 bps. The Aussie Govt 10 yr is now at 2.70% (up +3 bps). The China 10 yr is down -1 bps at 3.73% and the NZ Govt 10 yr is up +1 bp at 2.81%. But the 90 day bank bill rate is up +2 bps to 1.99% and the highest since February 2017. It has risen from its all-time low of 1.86 on 14 December 2017, a gain of +13 bps in those 17 weeks and the largest gain since 2014.
BITCOIN HOLDS UP
The bitcoin price is at US$6,748 which is a loss of +5.6% since this time yesterday.
NZ DOLLAR INCHES HIGHER
The NZD is up slightly at 73.3 USc. On the cross rates we are at 94.8 AUc and at 59.5 euro cents. That puts the TWI-5 at 74.5.
This chart is animated here. For previous users, the animation process has been updated and works better now.