Here are the key things you need to know before you leave work today.
TODAY'S RATE CHANGES
ANZ changed most of its fixed mortgage rates, dropped its 2 yr 'special' and replaced it with a 3 year 'special'. The effect was to meet the market rather than adopt any market-leading positions. At the same time ANZ increased most of its term deposit rates by +25 bps for all terms of one year and less. The Co-operative Bank also increased their StepSaver account to 4.5% up 15 bps.
MORE HELP AT THE BOTTOM END
The Government today announced a $100 mln 4 year plan to pay a number of costs for people with housing affordability stress who need social housing.
TOWER ENDS LIFE
Tower has sold the last part of its remaining life business to Foundation Life, a private company that is focused on the acquisition and long term management of life insurance portfolios which are no longer being actively marketed.
PICKUP?
Reversing the downward trend of the previous two quarters, positive hiring intentions rose 4.5% to 31.8%, according to the latest Hudson Report on Employment Trends released today. More than half of employers in this survey however expect to keep their staffing levels steady this quarter.
MORE DEFAULT KIWISAVER FUNDS, LOWER FEES
The revised set of default providers - AMP, ANZ, ASB, BNZ, Grosvenor, Kiwi Wealth, Mercer, Fisher Funds and Westpac - became effective today. They have agreed to lower annual average fees of $56, down from $69. There are about 450,000 people in default funds out of the total 2.3 million enrolled.
CHINESE PMIs COME IN AS EXPECTED
Both the official and the HSBC Chinese PMI readings came in today exactly as the markets were expecting, and both where positive, meaning manufacturing is expanding in China again.
Banks are upping their "0%" offers. Westpac today announced a 'special' of 0% for one year on balance transfers. AmericanExpress also announced a zero-fee Airpoints credit card. It "breaks new ground" for cardholders with no annual card, membership or joining fees, and access to a special earn rate for Airpoints Dollars - simply by using the card.
WHOLESALE RATES
Wholesale swap rates resumed their rises today which is a different direction to New York markets. The rises were between 2 and 3 bps. The 90 day bank bill rate was higher again as well at 3.65%.
OUR CURRENCY
The NZ dollar moved sideways today and is now at 87.6 USc, the Aussie is at 93.0 AUc and the TWI is now at 81.2.
RBA TO REVIEW RATES IN HALF AN HOUR
We are awaiting the RBA rate decision which should come at 4:30pm.
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2 Comments
super news
Supermarket chain Coles had admitted threatening suppliers with sanctions such as refusing to stock new products and blocking access to sales forecasts when they declined to pay extra rebates to participate in a new supply chain program.
In its 34-page defence of unconscionable conduct allegations by the Australian Competition and Consumer Commission, Australia’s second largest food and liquor retailer has made more than 98 “admissions.”
Read more: http://www.smh.com.au/business/retail/coles-admits-to-threatening-suppliers-20140701-zsryh.html#ixzz36CA1HMBi whats the use of CER with a 30% plus of the market player is playing dirty pool.
Dont U worry
It has not gone un-noticed
Nick Xenophon, South Australia, an independent Senator in the Federal Upper house has been on this case for sometime
He is extemely pissed off about the shennanigans of Coles and Woolworths
In this coming parliament he will re-introduce a bill that will force any company or organisation that abuses its market power to be broken up. Similar to USA anti-trust law used to break up IBM. He points out that Australia and New Zealand are in the minority of countries that don't have such laws
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