The Reserve Bank today left the Official Cash Rate (OCR) unchanged at 1.75 percent. No immanent sign of a rate hike either with the following…..”Monetary policy will remain accommodative for a considerable period.”
ANZ and Westpac have tweaked up mid and long term fixed interest rates by 0.10% to 0.20% this week.
The Reserve Bank yesterday left the Official Cash Rate (OCR) unchanged at 1.75 percent and presented an outlook of remaining on hold for some time.
The Banks on the other hand, to protect profit margins, have been raising interest rates “out of cycle” ANZ has raised floating rates twice this year despite no movement in the OCR.
The Reserve Bank today left the Official Cash Rate (OCR) unchanged at 1.75 percent.
The recent moderation in house price inflation was noted reflecting loan-to-value ratio restrictions and higher mortgage interest rates.
The announcement seems to leave open the possibilty of a lower OCR given international “uncertainties”.
ASB has today implemented a $400 “home loan processing fee” onto investment lending applications.
ANZ has today raised rates across the board except for the 6 month fixed rate. Against a backdrop of a static 90 day bill rate and OCR they have also taken the opportunity to raise their Floating Interest Rates by 0.10%.
Interesting ANZ desribes the home loan interest rate moves as “making changes” as opposed to “raising rates”.
Hope you all had a great Christmas. 🙂
Thanks to our long standing clients and to all our Lenders and Insurers.
All the best for 2017.
ASB are out today with its 2nd series of fixed interest rate rises in the past 3 weeks. The floating rate also gets a tweak up 0.10% despite the OCR cut a week ago.
3 years fixed up 0.40%
4 years fixed up 0.60%
5 years fixed up 0.50%
These are big moves over a 3 week period highlighting the benefit of staying in close touch with your broker if your not following the market yourself.
As was widely anticipated the OCR was trimmed by 0.25% to 1.75% this morning.
Recently swap rates have been increasing. The 5 year swap rate was 2.32% back in late June, as at today its 2.72%. This suggests an increased likelyhood of fixed interest mortgage rates rising.
ASB has today tweaked up their Fixed Interest Rate specials.
1 year up 0.04% to 4.29%
2 years up 0.05% to 4.34%
3 years up 0.05% to 4.39%
The Reserve Bank today left the Official Cash Rate (OCR) unchanged at 2.0 percent. The Fed Funds rate in the USA was also left unchanged.
Our Governor indicated that on current projections the Cash Rate will need to fall further to ensure inflation gets up to the middle of the target range.