Source: MIL-OSI Submissions
Source: Corelogic Weekly Property Pulse with Kelvin Davidson
Earlier today the Reserve Bank decided to keep the official cash rate unchanged at 1.0%, which in truth isn’t much of a surprise. Meanwhile, mortgage lending activity in August was pretty stable too, with owner-occupiers driving the market but investors more subdued. The LVR speed limits are seemingly having quite a strong effect on investors. However, there may be respite on the horizon, with a potential loosening of the rules in November.
CoreLogic Senior Property Economist Kelvin Davidson writes:
Official cash rate on hold at 1.0%, but watch for cut on November 13th…
The first key piece of news from the Reserve Bank (RBNZ) today was the decision to hold the official cash rate (OCR) unchanged at 1.0%, having surprised the markets by cutting it from 1.5% back on 7th August. Although you can never say never with this Governor and Committee, a cut was always unlikely today. However, with signs that general (CPI) price pressures are still pretty subdued and that the economy has perhaps lost a little momentum, there’s a decent chance that we’ll see a 0.75% OCR at the next meeting on 13th November.
View full commentary in the attached or online here: https://tinyurl.com/y6buqdc3