Israeli troops advanced into northern Gaza over the weekend, raising fears of a wider conflict in the Middle East. Gold and oil prices are up over key levels.
In our bonus deep-dive interview, ANZ Economist Andre Castaing explains how higher term premia for US interest rates are flowing into New Zealand’s economy.
5 things to know
Israeli troops advanced into Gaza over the weekend. Financial markets have yet to fully react to the news. Gold closed up 1% or 18.90/oz at a new seven-month high of US$2,016.30/oz on Saturday. Brent rose 2% to US$90/bbl. The Aussie dollar is at 63.37 USc at 5am AEST. The Kiwi is at 58.10 USc.
The Bank of Philippines hiked its policy rate 25 bps in between meetings on Friday to limit inflation expectations from rises in food and energy prices.
ANZ’s Chief Economist for Southeast Asia and India Sanjay Mathur sees the Bank of Philippines hiking another 25 bps on November 16.
ANZ’s Roy Morgan survey showed consumer confidence rose slightly in New Zealand in October, but remains grim, albeit with a clear split between short and long-term confidence, says ANZ’s NZ Chief Economist Sharon Zollner.
ANZ’s New Zealand truckometer series is showing the effects of high net migration, says Sharon.
Cheers
Bernard
PS: Hope you1 enjoyed your weekend. Look out tomorrow for previews of the Bank of Japan decision on Tuesday, New Zealand jobs data on Wednesday, and the Fed’s expected hold on Thursday morning.
Especially our South African readers. Clearly, I jinxed the All Blacks, or at least the video review officials.
