Performance papers
Markets

Housing risks require broad policy response says RBNZ

New Zealand central bank dep gov Grant Spencer speaks on housing

  • RBNZ is concerned about growing housing imbalances

  • Contemplating further macroprudential tools to curb housing market

  • Considering tightening LTV ratios further, could be introduced by year end

  • limits on debt to income ratios may also play a role

  • Concerned about risks to financial and economic stability due to housing market imbalances

The comments have given NZDUSD a near 20 pip lift to a high of 0.7167

  • Further rate cuts could pose a financial stability risk

  • CPI will ultimately determine monetary policy

These hawkish comments push the kiwi up further to 0.7189

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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