Black Monday

[bull....]

europe causing a bit of a red day on the screen at the moment , seems there second wave of virus is much bigger this time

European leaders are scrambling to put a cap on surging coronavirus infections in the region, with governments reimposing sweeping restrictions and shutdowns in an effort to curb infections

https://www.cnbc.com/2020/10/15/euro...-lockdown.html

mean while we are very lucky in NZ to be living a mostly normal life at the moment

Property and Stocks Boom as Investors Anticipate Ardern Victory

https://www.bloomberg.com/news/artic...is-time-around

[Cyclical]

Reserve Bank would rather do 'too much':

Home loan rates could get as low as 1.5 per cent as the Reserve Bank throws its weight behind stimulating the economy

https://www.stuff.co.nz/business/300...to-regret-that


wow great strategy from the RBNZ with mortgage rates this low buying a house will be way cheaper than renting. they will stimulate the construction industry big time as house building demand will soar and all the downstream businesses of this. rents might even drop as less rental property demand as no immigration.

Do you think so though, bull? The COL tried and failed big time to build a lot of houses. What says the private sector will do any better? I don't know the ins and outs of why it was such a fail, but I guess the RMA, consenting, ability to free up suitable land, not enough skilled labour (exacerbated now with covid stopping foreign workers coming in), not enough unskilled labour, not enough young ones out there interested or being encouraged to get into the industry (I'm only guessing here). It takes a long time to turn these things around. I don't imagine money was an issue on the Kiwibuild front, but unfortunately it was still a massive fail and probably not a bad lesson for the government...will be interesting to see what they will do about the underlying issues, else we are going to have massive social issues going forward.

[Zaphod]

Given the current accelerating momentum, there is very little they can do about the issue now. Even replacing the RMA with something more developer friendly, is not going to be enough. House prices are rocketing ahead, and the average NZer who feels that they are winning on the backs of these rises, would never allow a government to undermine their investment. Aside from a crash, I can't see an effective intervention that any government could make.

[bull....]

Labour has won big, but now the real work starts

https://www.stuff.co.nz/national/pol...al-work-starts

Labour has promised a big infrastructure building program. But how it is rolled out and what the priorities are remains to be seen

im hoping they enable the kiwisaver , super fund to help , will mean more projects can be done why rates are low , makes them all viable.


In summary the article says

The question will be whether Ardern is prepared to spend her political capital to do what needs to be done. John Key wasn’t. It will be a mark of leadership if she does

[winner69]

Labour has won big, but now the real work starts

https://www.stuff.co.nz/national/pol...al-work-starts

Labour has promised a big infrastructure building program. But how it is rolled out and what the priorities are remains to be seen

im hoping they enable the kiwisaver , super fund to help , will mean more projects can be done why rates are low , makes them all viable.


In summary the article says

The question will be whether Ardern is prepared to spend her political capital to do what needs to be done. John Key wasn’t. It will be a mark of leadership if she does

Won’t enabling kiwisaver funds etc to help just lower returns ti Kiwisaver members

[bull....]

Won’t enabling kiwisaver funds etc to help just lower returns ti Kiwisaver members

no , the funds invest based on a acceptable rate of return ie public / private partnerships etc .. grant robinson was doing some work on this last term so lets hope he actually does it

[stoploss]

I think its more likely the "Superfund" will play a part in this ,not so much your average punter in a Kiwisaver scheme ?

[Timesurfer]

Because Kiwibuild was a roaring success. Your kiwi saver and super fund dreams will meet the same spectacular end for the same reasons.

[Arthur]

Kainga Ora is really starting to pump out the housing. If the Government leads from the front by supplying large numbers of well built warm dry housing at competitive prices (rather than bashing private landlords) the market will settle and the long term future for New Zealand will improve.

[Dlownz]

How's everyone feeling at the mo with the market. I've got a feeling we have maybe
one more good week before we see a slide again. The u.s is so close to elections now somethings got to give.
Just feels a little like January where it lures you into a false sense of security then boom.
Thinking things will start to bounce in December. Only time will tell I guess 🙂