Quote Originally Posted by TeslaGod View Post
China has begun to lower interest rates/

China were the leader's in elimination*

China were the first to re open as the world went into lockdown in March 2020

There economy/markets benefited from easy credit/low interest rates

They were also the first to show signs of a slowing economy and deflation.

NZ will follow suit in the next 12 months if not earlier on the long term of the yield curve (lower longer term interest rates)

The US will soon follow after

Negative interest rates mid decade for NZ and US/OZ.

Robertson is screwed, short term inflation will only go higher hurting labours core voter's in the pocket.

The extension of the boarder closure is only going to push inflation higher.

The only way to drive short term inflation down for now is raise interest rates (painful for the middle voter's) and open the boarders to increase the labour constraints pushing down wages and prices.


Both are deflationary and with an election 20 months out it's going to happen, people vote with there wallets.

If you're struggling to pay 2.50 at the pump the last thing you are worried about is buying a house.
Yes Inflation is going continue higher next year ... IMHO we will see Petrol over $3 ... Property modest growth but after such strong growth ... even 2-3% = $20K up etc