NZ: Financial Stability Review highlighted reduced risks in the financial system - TDS
|The analysis team at TDS explains that the NZ’s semi-annual Financial Stability Review highlighted reduced risks in the financial system, although global uncertainty remains.
Key Quotes
“Although house prices remain elevated, housing price growth has slowed in response to the tighter LVR restrictions. However, RBNZ is monitoring the significant share of housing loans made to high debt-to-income (DTI) ratios. In general, banks have tightened credit conditions and risks in housing market while seeking to reduce offshore funding reliance. Recovering dairy prices have helped dairy farms to return to profitability but banks still need to be vigilant. May ANZ business confidence improved to 14.9 (prior 11) while activity steadies around 38 (prior 37). Inflation expectations increased to 2.0% (prior 1.8%).”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.