Business Maverick: New Zealand Holds Interest Rates

after holding the official cash rate at a record-low 1.0%. “We will add further monetary stimulus if needed.”

The New Zealand dollar jumped three-quarters of a U.S. cent after the surprise announcement. It bought 64.09 cents at 2:33 p.m. in Wellington, up from 63.35 cents immediately before the statement. Two-year swap rates rose 21 basis points to 1.25% and the 10-year bond yield gained 17.5 points to 1.54%.

When the RBNZ cut rates in May, it became the first central bank in the developed world to embark on a new easing cycle. While others soon followed suit, recent pauses from the U.S. Federal Reserve andsuggest policymakers want to assess the impact of cuts to date before adding further stimulus. “We expect economic growth to remain subdued over the remainder of the calendar year,” it said. Still, “domestic economic activity is expected to increase during 2020 supported by low-interest rates, higher wage growth and increased government spending and investment. The low level of the OCR has flowed through to lower lending rates more generally, which support spending and investment.”

Canada Canada Latest News, Canada Canada Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

BUSINESS MAVERICK: News: Platinum wage deals to be signed on Wednesday, says AmcuThe deals will provide most of the workforce with above-inflation wage increases and signal that rank and file members were probably not keen on strike action.
Source: dailymaverick - 🏆 3. / 84 Read more »

Business Maverick: Cartoon Tuesday
Source: dailymaverick - 🏆 3. / 84 Read more »

Business Maverick: JP Morgan’s Dimon Laments Income Inequality, Won’t Assail CEO PayJP Morgan Chase & Co.’s billionaire Chief Executive Officer Jamie Dimon called US income inequality a “huge problem,” but he stopped short of saying America’s top executives were being paid too much.
Source: dailymaverick - 🏆 3. / 84 Read more »

Business Maverick: Boeing’s Max ComebackBoeing Co. jumped after providing more detail on how the 737 Max will return to the skies -- even as the company backed away from earlier assurances that the grounded jet would win full regulatory approval by year-end.
Source: dailymaverick - 🏆 3. / 84 Read more »

Business Maverick: China’s Troubled Banks Get a Lifeline from Local GovernmentsChina’s local governments are helping inject fresh capital into small lenders across the country, part of an expanding campaign to restore confidence in the world’s largest banking system.
Source: dailymaverick - 🏆 3. / 84 Read more »