The latest Chinese inflation numbers were slightly higher than expected which has seen the potential for a BOC RRR cut next year move lower, also pushing mainland shares down as well. All other Asian markets are in the red as well with the risk complex awaiting tonight’s FOMC meeting to see what is in store
The Reserve Bank of New Zealand has delivered 3.25% of interest rate cuts since July 2024. This reduction in the OCR has delivered a corresponding decline in new mortgage rates to pre-pandemic norms: Normally, such a sharp reduction in mortgage rates would result in a lift in homebuyer demand and prices. However, as illustrated below
From the Market Ear: Stuck SPX remains stuck inside the range that has been in place since September. Bull flag and a break out, or a double top? We aren’t getting excited until we break out of the range. Until then, treat this as a mean-reverting market. Stability… …at these levels, but dealers turn short
When Australia closed the book on the 20th century, the median home at a national level could be purchased by a household with a median household income. The typical mortgage consumed 25% of gross income, assuming they had the cash for a 20% deposit, stamp duty, and other transaction costs. This marked the last ‘hurrah’
The ABC’s Ian Verrender neatly summarised the forms of East Coast gas reservation being considered by the Albanese government as it attempts to overcome a pending supply shortfall: Those in the know say the federal government is considering two options. The first option is that each of the exporters must supply a certain quantity of
The latest Statement of Monetary Policy from the Reserve Bank of Australia (RBA) forecast that the official unemployment rate would remain around its current level until the end of 2027: With “full employment” being one of the RBA’s mandates (the other being “price stability”), an increase in unemployment significantly above the forecast implies an increased
When China first began its meteoric rise to unparalleled industrial superpower, there were nations around the world who saw the Middle Kingdom’s rise as an opportunity, a new market in which to sell their goods. And for a while, the relationship between China and, in particular, Europe was heavily defined by the rise of the
Before Tuesday’s interest rate decision, financial markets anticipated that the Reserve Bank of Australia (RBA) would deliver one more 25-bp rate hike in 2026 amid rising inflation concerns. Tuesday’s NAB Business Survey for November suggested that Australia’s inflation is not as broad-based as thought and also pointed to a further softening of the labour market—both
The Pacific Peso is on fire even before the RBA’s “hawkish hold” at yesterday’s meeting, keeping in on its short term trend that has seen it breach and hold the 66 cent level against USD. However its performing much better against the Asian countries, making a new yearly high against Yen: In fact it maybe
Wall Street remained in a hold pattern overnight as everyone awaits the FOMC meeting with a selloff in Treasuries keeping USD somewhat supported, particularly against Yen while European shares also went nowhere. Yesterday’s RBA meeting where a hold was handed down amid hawkish commentary saw a selloff in local stocks and bonds as well with