A review of things you need to know before you go home on Tuesday; NZIER warns on housing, MRP wants to issue more bonds, new Party formed, paid parental leave rates rising

Here are the key things you need to know before you leave work today.

HOUSING BRAKE ON ECONOMY?
The New Zealand Institute of Economic Research said the recent sharp fall in house sales poses a risk that could "put the brakes" on the broader economy. In NZIER's quarterly predictions, principal economist Shamubeel Eaqub said; "A sudden stop in house sales could make banks more careful in lending. That would put the brakes on broader economic growth."

TOWER PROFIT DOWN
Insurer Tower posted a 70% fall in interim profit to $13.1 million, although last year's was boosted by asset sales and earnings from divested businesses. Gross written premiums rose 5% to $139.2 million. Tower will pay an unimputed half-year dividend of 6.5 cents per share, which is up 30% and in line with its policy of paying out 90% to 100% of net profit after tax. Tower said it will look to "actively participate" in industry consolidation where it's of benefit to shareholders.

MIGHTY BOND OFFER
SOE Mighty River Power says it's looking to borrow up to $300 million through a bond issue. The unsecured subordinated capital bonds are likely to be eligible for intermediate equity content (50%) from credit rating agency Standard & Poor’s.

A WIN FOR YOUNG NEW ZEALANDERS?
Kim Dotcom's Internet Party has formalised a partnership with the Hone Harawira led MANA via a Memorandum of Understanding that will see them put forward a combined list of candidates to contest the party vote in September's election. Although the two parties will retain separate identities, a new political party called Internet MANA will be formed.

“Our ambition has always been to get the voice of young New Zealanders - the digital generation - heard in Parliament,” said Vikram Kumar, the Internet Party's CEO.

PARENTAL LEAVE PAYMENTS RISING
Labour Minister Simon Bridges said parental leave payments will increase from July. The maximum payment for eligible employees and self-employed people will increase to $504.10 gross per week from $488.17. The minimum parental leave payment for self-employed people will also increase to $142.50 from $137.50.

WHOLESALE RATES STEEPEN
Wholesale swap rates were down again today, this time across the whole curve, dropping 1 or 2 bps. The 90 day bank bill rate is also down at 3.38%.

OUR CURRENCY
It's the Memorial Day holiday in the US today. That makes market trading still very thin. The NZ dollar is ending with the USD at 85.5 USc, the Aussie at 92.5 AUc. The TWI is at 79.8.