Following one of the largest increases in the industrialised world during the Covid-19 pandemic, New Zealand’s housing prices fell sharply. According to the REINZ home price index, presented below by Justin Fabo from Antipodean Macro, New Zealand’s real inflation-adjusted home prices have reverted to pre-pandemic levels. Separate data provided this month by Cotality reported that
It is a long-held belief of many in the Labor Party. Today it has morphed into doubts about AUKUS. Labor stalwart Sean Kelly. AUKUS, with its pros and cons, commands many column inches in this country; periodically it becomes the central topic of political debate, as it did last week. Similarly, there is much discussion
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ANZ has a good idea. Property construction will decline another 30% to 580 million m2 by 2035 in our baseline scenario. Over 50% of new demand will stem from upgrading, instead of urbanisation. Urban renewal is unlikely to contribute much to the sector. Property rent rather than property price will be crucial to stabilise the
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Santos runs two LNG export trains out of Gladstone, Queensland, which siphons up East Coast gas and ships it to Asia (mostly China). Since Santos’ LNG export trains came online in 2015 (alongside others), the volume of gas produced on the East Coast has doubled, while 25% less gas has been supplied to domestic users.
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Policy makers and economists are concerned that the retirement of the Baby Boomer generation and an ageing population could see the nation’s workforce heavily diminished in the future. For example, Federal Treasurer Jim Chalmers warned in January 2023, just as immigration was ramping to record levels, that longer life expectancy and a sharp decline in
Anybody who believes that meeting Labor’s 82% Renewable Energy Target (RET) by 2030 is achievable or affordable is delusional. To achieve Labor’s fantastical target, most of Australia’s baseload coal generation—the backbone of the nation’s electricity grid—would need to be shut down and replaced with intermittent and weather-dependent wind and solar generation, backed up with battery
May Chinese credit was soft. The recent acceleration in total social financing stalled at 8.7% year-on-year stock growth. And don’t forget that a lot of this is debt swaps with local governments, so the real number is more like 8%. Other indicators are pretty soft as well. Power is tepid. Tourism remained tepid. Exports are
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How long can steel fall and iron ore not? Coking coal is still sliding as well, which offers some explanation. Flat steel demand remains stagnant. Long steel is wrecked. Output is getting pulverised. One wonders if the mooted 50 mt in output cuts are taking effect. The steel market appears sick.
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Markets are half-panicked by the latest Middle East war. Oil Israel’s attacks on Iranian air defense systems and nuclear capabilities re-opens awide range of possible avenues via which oil supply could be disrupted. Importantly, it may also derail the process of US-Iran nuclear deal talks which were scheduled to continue in Oman on Sunday, although
Ah, the gas cartel, that wondrous beast that knows no bounds of decency. Via Petroleum Australia: Australia Pacific LNG (APLNG), the country’s largest liquefied natural gas exporter on the east coast, has agreed to a substantial price reduction under its flagship 7.6 million tonne per annum contract with China’s Sinopec. The move, anticipated to cost
Friday’s session was dominated by the Israeli-Iranian war with an initial flight to safety to USD that then faded, coupled with an actual rise in Treasury yields. This is not usual in times of high risk and is a symptom of the flailing global monetary order. The 30 year yield finished close to the 5%
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