Interest rates NZ

2023 - 4 - 5

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Image courtesy of "New Zealand Herald"

Reserve Bank hikes Official Cash Rate to 5.25 per cent (New Zealand Herald)

The 11th successive hike, it takes the rate to its highest level since December 2008. Inflation is still too high and persistent, and employment is beyond its ...

“However, wholesale interest rates have fallen significantly since the February Statement, and this could put downward pressure on lending rates,” it said. The Monetary Policy Statement today made scant mention of the employment impacts of these changes.” Around half of New Zealand mortgage holders will be re-fixing their mortgages in the next six months, meaning many will see their interest rates double from 3 per cent or less to more than 6 per cent.” ”Some Reserve Banks such as the Reserve Bank of Australia are holding their interest rates. “Sadly, for too many Kiwis this will be the punch that sends them off the edge, into mortgage arrears, unwanted house sales and financial distress.” The New Zealand dollar rallied sharply on the higher-than-expected hike. ”No one saw this coming,” Imre Speizer, senior markets strategist at Westpac, said. ”The last NZIER Quarterly Survey of Business Opinion showed that capacity constraints were easing. The RBNZ effectively shrugged off global banking woes. The recent severe weather events in the North Island have led to higher prices for some goods and services, the RBNZ said. Instead, they’ve been given another punch in the guts. ”We reject that approach and the idea that some of the most vulnerable must pay the price for inflation control.”

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Image courtesy of "Interest.co.nz"

RBNZ lifts the OCR to 5.25% in surprise move to combat cyclone ... (Interest.co.nz)

Reserve Bank lifts Official Cash Rate 50 basis points to 5.25% saying severe weather events have led to higher prices for some goods & services.

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Image courtesy of "RNZ"

Reserve Bank raises OCR to 5.25% (RNZ)

The Reserve Bank (RBNZ) says the economy is slowing and the labour market easing but inflation remains high. Economists and financial markets were ...

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Image courtesy of "thedailyblog.co.nz"

Reserve Bank Interest rates rise to force a recession on NZ | The ... (thedailyblog.co.nz)

The OCR is the rate that all other rates are based on. That means your mortgage and credit card payments are also going to go, along with rates to loans for ...

We’ll probably have to do it in a couple of years anyway when the next big crash happens, why not get in first and limit the damage? This “principle” was abandoned by the National Government temporarily in 2008 when a financial crisis threatened and a temporary insurance system was established to stabilise the financial system. When three banks failed recently in the US, the federal government had to guarantee the deposits above the banks insured limit of $250,000. The tech industry suffered a downturn over the last year as well which meant some of the deposits of SVB were being withdrawn. But the solutions being enforced by the Reserve Bank today are against the interests of the vast majority of people in this country. The SVB had become cash rich in the tech boom with de[posits going from $60 to $200 billion over the two years to the beginning of 2022 because they catered to that clientele. I assume the government paid the cost of the bailout at that time of the financial companies that were bailed out. But that did not deter the Reserve Bank in NZ from doubling the rate of increase compared to Australia, the US, and the UK which increased their rates by only 0.25% over the last few weeks. The inflation we have in NZ today is the product of the government and Reserve Bank adopting money printing policies to save the capitalist system during the pandemic-induced economic decline in 2020. Bank greed and Reserve Bank enabling created that massive housing market price boom over the past decade or so. The NZ Reserve Bank says this is needed because a wage-price spiral threatens. The OCR is the rate that all other rates are based on.

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Image courtesy of "Reuters"

RBNZ stuns market with bigger rate rise, more tightening seen (Reuters)

New Zealand's central bank unexpectedly raised interest rates by 50 basis points to a more than 14-year peak of 5.25% on Wednesday, saying inflation was ...

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Image courtesy of "Stuff.co.nz"

Reserve Bank lifts official cash rate to 5.25% (Stuff.co.nz)

That is twice the rate of increase that many economists had expected. Earlier, Kiwibank chief economist Jarrod Kerr called for the Reserve Bank to take care ...

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Image courtesy of "Newshub"

Reserve Bank hikes official cash rate to 5.25 percent, highest since ... (Newshub)

The Reserve Bank (RBNZ) has raised interest rates by another 50 basis points to highs not seen since the 2008 global financial crisis.

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Image courtesy of "New Zealand Herald"

Hawke's Bay mortgage holders advised to tighten their belts (New Zealand Herald)

That's the advice of Hawke's Bay Property Investors Association president Sharon Cullwick, in the wake of the Reserve Bank raising the Official Cash Rate to ...

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