Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


BNZ Weekly and Offshore Overviews April 11 2008

Welcome to the April 10 2008 editions of the BNZ Weekly and Offshore Overviews.

Over the past week in New Zealand we have seen more bad sentiment readings for the business sector and some shocking data on the Auckland housing market. In spite of this the NZD has risen over one cent against the greenback partly on the back of a soaring Aussie dollar supported by a massive lift in coal prices, plus high readings for inflation measures in the NZIER’s quarterly survey.

In spite of worsening economic conditions in New Zealand, in particular in the housing market, scope for easier monetary policy remains low and we currently expect no easing before December.

Overseas in the United States job numbers have fallen for three months in a row and as yet there is no sign of the decline in the housing market ending. That means the current mild feeling that perhaps the Federal Reserve has things under control could be misplaced. In the United Kingdom the manufacturing sector improved unexpectedly in February but house prices fell 2.5% in March and consumer confidence continues to decline. Another easing of monetary policy is imminent.

In China and Japan data releases have been few and far between this week. Suffice to say in both economies growth risks continue to lie on the downside, though with Chinese growth prospects far superior than Japan’s.

In Europe indicators remain mixed to positive with Germany helping to underpin growth perhaps near 1.5% this year. And in Australia the labour market remains strong but business confidence has fallen to a seven year low and weakness is apparent in housing and retailing.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Crown Accounts: Slightly Softer Growth Expected In PREFU

A slightly softer growth forecast is the main feature of largely unchanged Pre-election Fiscal Update compared to the Budget forecasts three months ago, Finance Minister Steven Joyce says. More>>


Water: Farming Leaders Pledge To Help Make Rivers Swimmable

In a first for the country, farming leaders have pledged to work together to help make New Zealand’s rivers swimmable for future generations. More>>


Unintended Consequences: Liquor Change For Grocery Stores On Tobacco Tax

Changes in the law made to enable grocery stores to continue holding liquor licences to sell alcohol despite increases in tobacco taxes will take effect on 15 September 2017. More>>

Back Again: Government Approves TPP11 Mandate

Trade Minister Todd McClay says New Zealand will be pushing for the minimal number of changes possible to the original TPP agreement, something that the remaining TPP11 countries have agreed on. More>>


By May 2018: Wider, Earlier Microbead Ban

The sale and manufacture of wash-off products containing plastic microbeads will be banned in New Zealand earlier than previously expected, Associate Environment Minister Scott Simpson announced today. More>>