NZ: House prices were up 1.3 in August – ANZ


ANZ analysts note that New Zealand’s nationwide, house prices were up 1.3% m/m in August, to be up 0.6% q/q, while annual house price inflation rose to 2.1% from 1.7%.

Key Quotes

“Consistent with recent trends, Auckland house prices underperformed the broader market in August. Auckland house prices were up 1.0% in the month, to be down 2.6% over the past year. In the rest of New Zealand (ie ex-Auckland), house price inflation rose a solid 1.4% m/m. This saw annual house price inflation pick up to 6.8% y/y from 5.9% in July.”

“While prices were solid in August, we did see house sales pull back, consistent with weak listings. We estimate seasonally adjusted house sales fell 7.5% m/m in August, more than reversing the 6.6% m/m bounce in July. Annual sales growth did increase to -0.1% y/y (3mma) from -0.4% in July.”

“The housing market tightened in August to around its historical norm.”

“The notable boost to house prices in August may reflect support from lower mortgage rates over the past year, but the reversal in sales activity supports the view that the market is unlikely to take off substantially from here. While we expect the market to remain subdued overall, there is a risk that recent drops in mortgage rates do prompt a reignition in the housing market.”

 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

Latest Forex News

Editors’ Picks

AUD/USD extends recovery gains to 0.6850 despite China’s coronavirus harming risk-tone

AUD/USD stays on the front-foot while taking rounds to 0.6845 amid the initial Asian session on Friday. The pair recently reacted to the preliminary readings of the Commonwealth Bank (CBA) PMI details for January.

AUD/USD News

NZD/USD nears the weekly high of 0.6625 after New Zealand’s upbeat CPI

NZD/USD pops near the weekly high of 0.6625, before stepping back to 0.6620, after New Zealand’s fourth quarter (Q4) CPI data pleased kiwi buyers during the early Friday. Trade headlines, preliminary Markit PMIs will be in focus.

NZD/USD News

FX Fear Trade Gains Traction

Currencies sold off sharply today as the coronavirus virus spreads to new countries. China may be aggressively trying to contain the virus but the respite should be brief as more cases will be reported before it all peaks. 

Read more

Gold: Steady above $1,560 amid fears of China’s coronavirus outbreak

Gold stays modestly changed from Thursday’s close while taking rounds to $1,562.5 during Friday’s Asian session. The bullion recently benefited from the market’s risk-off sentiment amid fears emanating from China and trade headlines. 

Gold News

GBP/USD pressured toward 1.31 amid risk-off mood

GBP/USD is trading around 1.31, off the highs. Coronavirus headlines are sending traders to the safety of the US dollar. Speculation about the next BOE move is rife.

GBP/USD News

Forex MAJORS

Cryptocurrencies

Signatures