Header Ads

Header ADS

REINZ Refers To A 26% Increase In The Local Property Market In New Zealand / UK CPI In August Increased By 3.2% Year-on-year, An Increase Far Exceeding Market Expectation

REINZ Refers To A 26% Increase In The Local Property Market In New Zealand

According to the latest data from the Real Estate Institute of New Zealand (REINZ), the national median property price continued to rise to NZ$850,000 in August, a sharp increase of 26% from the 675,000 in the same period last year. The rising risk of local property market bubble may prompt the Bank of New Zealand to tighten monetary policy early. According to the latest changes in New Zealand interest rate futures prices, the probability that the Bank of New Zealand will raise interest rates by 25 basis points in October and November respectively has reached a consensus, and the probability of another 25 basis points increase in February next year (that is, the interest rate will rise to 1%) It is also as high as 90%, reflecting the market’s expectations for a rate hike by the Bank of New Zealand is very high.

UK CPI In August Increased By 3.2% Year-on-year, An Increase Far Exceeding Market Expectation

The UK Consumer Price Index (CPI) increased by 3.2% year-on-year in August, which was much higher than market expectations of 2.9%. It rebounded by 1.2 percentage points from the previous value and hit a new high since March 2012. It was mainly driven by the low base effect caused by the government's large-scale rescue operation last year. During the period, the core CPI excluding food and energy rose by 3.1% year-on-year, which was also better than market expectations of 2.9% and the previous value of 1.9%. The sharp rise in inflation in the United Kingdom reflects those economic activities after the unblocking are pushing up raw material and labor costs, which may lead to overheating of the economy. In the short term, the market will increase expectations that the Bank of England may need to tighten monetary policy in the middle of next year.

 

Powered by Blogger.