After cutting rates at its last two meetings the RBNZ decided to again reduce interest rates by another 0.25 basis points to 2.75%.
Falling dairy prices, thanks to slowing Chinese demand, combined with recent global economic volatility and slower economic growth have forced the RBNZ to cut rates once again.Key Indicators The national median property price rose 3.3% from June 2015 to July 2015. The national median property price has risen 11.8% over the year to July. 8,121 dwellings sold in July 2015, up 37.8% on July 2014. Auckland’s median price fell -2.35% from June 2015 to July 2015. Inflation remains low with CPI up 0.4% in Q2 and up 0.4% over the year to June. The NZ dollar softened over the past month to around US$0.63. Unemployment sits at 5.9% while annual wage inflation is up 1.6%. Effect on property markets
The combination of three consecutive interest rate cuts ...