Here are the key things you need to know before you leave work today.
TODAY’S MORTGAGE RATE CHANGES
There are no changes to report for home loans today.
TODAY’S DEPOSIT RATE CHANGES
There were a raft of changes today, all lower. Heartland Bank cut its cash PIE rate. ASB cut its call account rate. And HSBC cut its 3 and 4 month term deposit rates.
AN UPBEAT VIEW
Treasury’s monthly assessment for June is out today. They say “risks associated with Greece continue to build while international developments elsewhere were generally positive.” They have also reviewed our tourism sector, concluding “With the rapid growth in Chinese arrivals expected to continue and Australia and other traditional markets providing a solid foundation, the trend in visitor arrivals is likely to remain positive for some time to come. When the upward trends in visitor expenditure are added in, travel services exports growth is expected to remain strong in the medium term.” See this too.
LEARNING FROM CHRISTCHURCH
The Government is proposing to double the amount to $200,000 it’ll contribute towards paying for homes damaged by natural disasters, but it wants to scrap EQC’s contents cover and some land cover. It can’t get reinsurance for the land cover option, so that leaves the taxpayer with the liability.
UNCERTAINTY SPOOKS OVERSEAS MARKETS
Share markets showed split personalities today. The Chinese (Shanghai) markets are up sharply, having had very dramatic falls over the past three weeks. It is a relief rally there, following major support commitments from the Beijing government over the weekend. But Sydney and Hong Kong are down sharply, more worried about Greece – or more specifically – worried about how Wall Street will open following the Greek ‘No’ vote.
WHOLESALE RATES FALL
NZ swap rates have dropped sharply across the curve today, down -4 to -6 basis points in anticipation of what Wall Street will signal tonight. The 90 day bank bill rate has dropped -4 bps as well to 3.18%.
NZ DOLLAR WEAKENS
The NZ dollar has held its level from where it was on Friday. It’s at 66.8 USc, at 89.1 AUc, and 60.5 euro cents. The TWI is at 71.1. Check our real-time charts here.
You can now see an animation of this chart. Click on it, or click here.