Interest Rates: RBNZ OCR
2pm Wed 28 Feb, the RBNZ will unveil its eagerly awaited OCR decision, marking the first such announcement since 29 Nov 2023. What can we anticipate?
The RBNZ has adopted a hawkish stance, signaling potential rate hikes amidst concerns over domestic inflation - a sentiment echoed by ANZ's Chief Economist, NZ's largest bank.
Contrastingly, the majority of economists have taken a dovish position, cautioning against rate increases. They underscore the impacts of the successive rate hikes (+4.25%) over the past 2.5yrs and the softening underlying GDP, despite robust migration figures.
Adding to the complexity, our Prime Minister, Christopher Luxon, has characterized the nation's current state as "fragile."
Market sentiment have been oscillating. Wholesale market funding rates experienced a -1.16% decline from 4 Oct to 29 Dec 2023, (refer to 2yr swap rate graphic). However, since then, they have rebounded, increasing +0.57%. Concurrently, retail mortgage rates have seen some reduction but not to the same extent.
Market dynamics are influenced by a plethora of factors, including local and international data releases like employment figures, inflation rates, and GDP growth. Moreover, commentary from influential figures - sometimes referred to as "jawboning" - can significantly sway market sentiment.
Ultimately, the RBNZ holds the reins, but it's far from a predetermined outcome.
If you are seeking independent guidance on your refix, restructuring, or refinancing options, reach out to adviceHQ today.
#advicehq #RBNZ #ocr #interestrates #mortgagerates
Poll: Would you want an unconventional funeral?
Funerals can cost as much as $22,000 and the planning can be stressful especially at a time when loved ones are grieving. Some New Zealanders are re-imagining funerals by making their own coffin or having a relaxed ceremony at home. Would you want a less traditional funeral? Share your thoughts below.
Type 'Not For Print' if you wish your comments to be excluded from the Conversations column of your local paper.
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84.1% Yes
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13.9% No
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1.9% Other - I'll share below!
ANNOUNCEMENT: adviceHQ Takes Up The Reins, Craig Pettit Retires
After nearly five decades of dedicated service in the banking industry, Craig Pettit has decided to embark on a well-deserved retirement. Craig and his wife Cindy are now shifting their focus towards travel and spending quality time with family.
As the saying goes, "as one door closes, another one opens." After careful consideration, Craig has chosen to entrust his clients to adviceHQ to ensure they continue to receive high quality service with a strong emphasis on values.
"After 15 fulfilling years as a mortgage adviser (and previously 34 years with Westpac), I believe it's time to pass the torch to another capable mortgage adviser. Allow me to introduce David Green from adviceHQ, based in Takapuna. With 25 years of invaluable experience in the financial sector, David's professionalism, personable nature, and expertise in finance, insurance, and KiwiSaver make him an excellent fit to guide you through your financial journey."
We are also pleased to have James Pettit continuing with the business as Client Manager.
We would like to welcome Craig’s valued clients to the adviceHQ family. We will continue to provide the same independent and personalised advice on mortgages you have come to trust. Now with the additional support from adviceHQ, we can also offer independent financial advice on Insurance, KiwiSaver, Business and Commercial Finance.
Feel free to reach out to adviceHQ for independent financial advice.
#adviceHQ #mortgages #insurance #KiwiSaver #businessfinance #commercialfinance
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