Borrowing costs to banks unusually high at the moment
One of the more interesting things in the wholesale money markets at the moment is that swap rates have risen so far they imply an...
Monetary policy to tighten before it loosens again
the fixed rate costs to banks of borrowing money to lend at fixed interest rates have soared in recent weeks. That is why we are s...
Where will mortgage rates peak?
What is it that borrowers should expect to see happen to their mortgage rates over the next few years? In particular, what does it mean now that the Reserve Bank have lifted their pick for how high their OCR goes from 2.5% to just under 3.4%?
Monetary policy tightening all around the world
It seems like we cannot get through a week at the moment without some fresh news suggesting inflation around the world will be more problematic than thought, and that interest rates will need to rise earlier and potentially higher than previously believed.
Higher inflation means higher interest rates
Inflation in New Zealand has just lifted from 4.9% to its highest level in three and a half decades. The numbers may sound shocking and indicate a rise in interest rates to what they were pre the Global Financial Crisis. But will they rise that high again?
Interest rate rises to continue this year
Welcome to my first fortnightly column on mortgage rate levels and prospects in New Zealand. At the start of 2022 we can see that all fixed interest rates have in fact risen quite firmly.