Here are the key things you need to know before you leave work today.
TODAY'S MORTGAGE RATE CHANGES
The Co-operative bank has dropped its four and five year home loan rates. More here.
TODAY'S DEPOSIT RATE CHANGES
There were no changes today.
NZD VOLUME SPIKE
September trading in the NZ dollar spiked up sharply, according to data released today by the RBNZ. Overall volumes were NZ$299.1 bln which was the highest since March 2009. Not only were currency swap volumes sharply higher, but there was also an impressive surge in spot trading. September spot trading was at its highest level ever at $62.3 bln breaking the record last set in October 2008
ONLY ONE OF THREE GUILTY
The SFO charges against three South Canterbury Finance directors or managers were dismissed by the High Court in Timaru for two of them, and substantially upheld against Ed Sullivan. Given that SCF owner Allan Hubbard died before the trial got underway and that he was central to the way SCF was managed, it was always going to be tricky for the SFO.
FARM CHIPS
Lincoln University is expanding its rural-focused IT capabilities with the launch of a new "Department of Informatics and Enabling Technologies". Expect to see rural drone controlled capabilities as part of its mission.
BACK TO THE DRAWING BOARD
Wool farmers have rejected paying a levy to promote their industry. The turnout was high (47%) and the vote was conclusive (44:56 on one-farm-one-vote, and 40:60 based on stock numbers).
TOUGH TRADING CONDITIONS OVER THERE
Australian business confidence has taken a dive in the face of tough trading conditions and dwindling profits. The widely respected NAB Monthly Business Survey found "a persistently soft operating environment for many firms. Forward orders remained soft, prompting de-stocking and competitive pricing which appears to have weighed on profitability".
WHOLESALE RATES
Domestic swap rates fell and flattened today as the Friday sag on Wall Street has now hit our markets. The 1-5 differential is now down to just 43 bps which was where it was last in 2008. The 90 day bank bill rate bucked the trend and rose today to 3.70%.
OUR CURRENCY JUMPS
Check our real-time charts here. Today the Kiwi dollar has ticked off yet another day of gains vs the US dollar and is now at 79.1 USc (while the Americans are on holiday). It is also currently at 90.1 AUc and the TWI sits at 76.7.
You can now see an animation of this chart. Click on it, or click here.
Daily exchange rates
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6 Comments
Given that SCF owner Allan Hubbard died before the trial got underway and that he was central to the way SCF was managed, it was always going to be tricky for the SFO.
The as yet unchallenged artifice that taxpayers should regret most was National's decision to extend the SCF government deposit guarantee scheme.
Only to be challenged by this nonsense;
A carve-up of the housing portfolio in the new Cabinet has alerted the country to a radical reform the Government has in mind for state housing. If all goes to plan, the state will no longer own all, or possibly any, of the houses given to tenants at income-related rents. They will be owned and run by charities, voluntary organisations, iwi and other groups that meet standards to be set. It will be called "social housing". Read more here and here
NZ voters may wonder if they have been misled as might those in the UK when they read these headline making comments:
Starting this Wednesday, 4,000 men (and, yes, they’ll mainly be men) will gather in a giant hall in London. Among them will be major property developers, billionaire investors and officials of your local council or one nearby. And what they’ll discuss will be the sale of public real estate, prime land already owned by you and me, to the private sector. The marketing people brand this a property trade show, but let’s drop the euphemisms and call it the sales fair to flog off Britain.
For the past 25 years, this conference – Mipim for short – has been held in Cannes. It’s a jaunt so lavish as to be almost comic – where big money developers invite town hall executives for secret discussions aboard private yachts, and whose regulars boast that they get through more champagne than all the liggers at the film festival.
Suitably oiled-up, local officials open talks with multinational developers to sell council housing estates and other sites. All this networking is so lucrative for the builders that they even fly over council staff. Last year, Australia’s Lend Lease paid for Southwark’s boss, Peter John, to attend Cannes. This is the same Lend Lease to which Southwark sold the giant Heygate estate at a knockdown price: 1,100 council flats in inner London to be demolished and replaced with 2,500 units, of which only 79 will be for “social rent”. Read more
One day a real journalist will get to the bottom of all this SCF fog - A good starting point is here:http://www.treasury.govt.nz/publications/informationreleases/scf/pdfs/s…
and here:http://www.oag.govt.nz/2011/treasury/appendix.htm
and here:http://www.oag.govt.nz/2011/treasury/part6.htm#inspectors (6.40 and Fig. 15)
Treasury had full time supervision of SCF HQ for several months prior to granting it version II cover and knew beforehand the institution was Dead Man Walking. That will be why none of the senior Treasury staff were even interviewed in this case or called to Court.
And, into who's hands did all the SCF assets fall?
Ergophobia
Chris Lee on his website has a list on his ! never again list! and it comprises a lot of names involved with SCF.Many of these people are still involved with the money industry and should be avoided at all costs in my opinion.Some of these people should hang their heads in shame regarding the lead up to SCF collapsing.
Interesting sidebar to the Iron Ore Wars here....yet another Great Game in progress.....
What is more interesting is the lack of interest and comment and true reporting on the largest drop in USA stocks and oil and never mind the Iron grip on us all above, reported by Waymad
Never mind China's woes and machinations.
Can do better...Maybe Wednesday will bring some true state of affairs, at close of play
Then we can all go home, cheque books intact.
Or are we supposed to think otherwise.
Maybe invest unwisely and throw good money after bad.
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