David Chaston details the key news overnight in 90 seconds at 9 am in association with Bank of New Zealand, including news that European stocks, and the euro currency fell overnight as concern built that their debt crisis is poised to widen.
At 0.5892 to the NZ dollar, the euro is hovering at its weakest level ever.
The German government is having to re-assess its opposition to increasing the European trillion dollar rescue fund, and it looks like it is waivering. Worries in Belgium are the latest trigger, and the pressure is being piled on by the ECB.
Despite these European bond problems, overall world distress levels in bonds are at their lowest levels in three years. In fact, the big Wall Steet banks are selling Treasuries in record volumes and shifting into commercial bonds as growth prospects improve.
Even Iceland, a complete basket case two years ago, is about to get back into the bond market, and has reasonable prospects. A real lesson for those countries tied up in the euro straightjacket, about the benefits of an independent floating currency.
In New Zealand, slightly better than expected numbers have been reported for Christmas retail sales. And new car and used import sales were stronger in December than many expected.
Pacific Blue’s troubles in the NZ market have been widely reported, and their $20 mil loss was the catalyst for them pulling out of domestic service. Now we hear Qantas’s NZ revenues fell 22% in their 2010 accounts, and profits were well down. But despite this, their head office is raiding their kiwi finances, declaring a $90 million dividend – that’s more than a year’s revenues for them here.
Today, we will be covering the release of building consent data for November, and the important announcement from the NZIER of their quarterly survey of business opinion (QSBO).
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24 Comments
Can we believe any of the reports coming out of any govt or liars like the Fed, the IMF and the BIS and the ECB and the EU about economies and paper money and growth and unemployment and bonds and debt and liabilities and "recovery"......I don't think soooo.
What of the corporates and the banks...do they tell the truth...the full truth...not friggin likely.
Hi Rob..I sold the dolly for a capital gain mate...you're right about the euro. Bloody mess across the ditch..poor buggers. Given the aussie floods and our own just a week or so back...I wouldn't fancy trying to sell property next to a river or creek for a few years!
perhaps a nice German -looking inflatable doll for you to play with at nights, Wolly? ..then you could keep up with inflation...in fact, you could call her that?
Anyway this is the way i see it this year... ..The three main economic players each face separate challenges in 2011. China is restricting bank lending in an attempt to curb inflation and slow expansion of its massive property bubble. Europe has its finger in the dike: attempting to halt the spread of the sovereign debt crisis. While the US faces twin challenges of a slow recovery and government debt rising faster than Queensland floodwaters.
I'm predicting another Global financial crisis 2...and it'll be a lot tougher than the recent one as they've used up all their powder on this one.....but what comes out of it will prepare the globe for a totally new monetary future for trade and commerce....something that GEN XY and Snooze will embrace...it's all his-story in the making !!!
but it will hurt...all of us and will make all this mumbling about housing seem like a walk in the park...
Tch tch tch , Wolly ! .......... Obviously you have not been paying attention to Iain Parker's posts .
............... Parksy , come and straighten these fellows out . ..........They need edumicating on the cartel of foreign banks that run the world's munny system .
And just when you thought it was safe to venture out...another gargantuan load of BS lands on your head!
" The Federal Reserve paid a record $US78.4 billion in earnings to the US government last year, reflecting gains from the central bank's unconventional efforts to lift the economy."
http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=10698989
harhaaaaaaaahahah hahaha
Golly Wolly .. dont want to interrupt your thought processes .. you got to keep the juices running .. you do about 99 to drop one really good gem .. only those involved in the global markets would appreciate them .. and I dont mean you pimping for that prechter guy .. youv'e been a bit light on lately .. but I've got to go through all your stuff to get them when they come up .. was a bit bored by some of the recent stuff .. but when the possums with headlights came up my prostate enlargement almost gave out .. still laughing at that one
Have a gork at this..bugger being a landlord. http://www.stuff.co.nz/business/money/4527058/Law-clears-up-grey-areas
http://www.stuff.co.nz/marlborough-express/news/4528791/Marlborough-has-low-average-wage " Marlborough has the lowest salary packages on offer in New Zealand, according to data released by employment website Seek.
The numbers which were based on job listings on the website between September to November showed the average salary package advertised for jobs in Marlborough was $52,785."
Only one thing for it...tax cuts for us in Marlborough...
Hav'nt you been listening to Less Rude ( NZMEA ) : TARA : There are ........... ahhhhh , oh shit , some rubbish ....... Anyhow ............ or was it TINA ? ............ bugger . Anyway , a simple exorcise to double the average wage in Marlboro , man .
Tear out all those stupid sauvignon blanc grapes , and set up dairy platforms in their place .
Secondly , treble the size of the Blenheim Council .
............... Average wage thru the roof , buddy . ........... No need to thank the Gumpster . The sight of all those cow-cockies and councillors , all in their shiny new SUV's , that's reward enuff for me .
Wolly, notice you don't suggest cuts to benefits to keep the ratio of national super etc to the average wage in the region.
As for banking conspiracy theories, they have been around a long time,and I see still going strong! All of them are of course rubbish, Jews or no Jews. But nothing like a banking conspiracy to get the people riled, goes way back to Middle Ages, not just Hitler.
Pension is not a benefit muzza..we been there done that. If it were means tested then maybe you could say it was.
That Jew hating rubbish still finds morons and idiots prepared to believe it.
Pretty soon now your average Kiwi family will be able to afford a modest home....in the UK!
It's of a benefit to those who get it, for doing nothing and paid for out of taxation/government borrowings(which you are often expressing disgust at), so in most people's books it's a benefit. Not too many younger than 45 seriously expect it to last like it is now unless something is done sooner rather than later, but that doesn't concern you.
Wrong muzza...it's not a benefit and I see a need to raise the age over time, just as was done to me when it was 60 but boosted to 65. Stop bashing the older mob. DB gave a pretty good account of why the BB bashing over the pension is a load of rubbish.
As for "doing nothing" to earn it...that's just pure venom. We'll see you change your tune as you approach 70...the age when you will likely get to be means tested and told to get stuffed because you were dumb enough to save too much and not waste your life boozing fagging and gambling.
That's the problem with means testing...sounds good to some...until they discover criminals who wasted their lives inside most of their working life get a means tested pension...there are many like that muzza!
Not bashing, just challenging the credibility of those of you who call for all sorts of actions by the government to address the financial situation but not those areas that are precious to themselves (and National Super is one of the biggest welfare sacred cows around). I've never suggested means testing, for precisely the reasons you give, and also that provides little incentive for people to actually plan their finances much for their retirement.
And don't think I am wrong, thought I might have been once back in 1999, but I was mistaken on that.
David Cunliffe gave Wild Bill a 4/10 score for running the economy . And that typifies Labour's seriously dopey out-look . The government cannot " grow the economy " .
If the government got out of the economy's way , it would grow , and the universal NZ Super would be affordable . The Cullen fund and Kiwisaver are a complete waste of time , and of tax-payers' munny .
All that those new dopey policies of Labour have done is to enrich fund-managers via their generous fees schedules , and to remove munny out of individual tax-payer's control .
If we want to continue the anemic 1.5 % average GDP growth of the last 30 years or so , just keep on the path of big government , the sort that Labour promise to expand further , should they win back power , later this year .
It's what they term a cheap shot muzza...because you have no idea who supports an extension to the age...I do but I also see a need to tighten up on who gets the pension. Currently the door is almost wide open for immigrants to gain full entitlement after a very short time span.
Yes Wolly I do know you support an extension to the age, but I don't think you would want that immediately, until you are 70. So it's an 'entitlement' not a pension, I see. Therein lies the problem with our social welfare, everyone who gets some aspect sees it as their 'entitlement'. No, far better no doubt to slug those younger guys who are trying to make themselves self-sufficient for later in life by bringing in a land tax and/or a capital gains tax.
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