MNI BRIEF: Canada Household Debt Tops CAD3 Trillion

ECB: SEES INFLA 2.5% IN '24, 2.2% '25, 1.9% '26

MNI: ECB CUTS KEY DEPOSIT RATE 25 BPS TO 3.50%

MNI China Daily Summary: Thursday, Sept 12

MNI BRIEF: China’s Foreign Investors Remain Positive

MNI BRIEF: China Aluminium Rebound Likely In September

MNI: USDA: 2024/2025 CORN PRODUCTION EST 15.19B BSL

US EIA:NAT GAS STORAGE +40 BCF TO 3,387 BCF SEP 06 WK

MNI: US JOBLESS CLAIMS +2K TO 230K IN SEP 07 WK

AUSTRALIA: Albanese Lines Up Budget for May Election

AUSTRALIA: Albanese Lines Up Budget for May Election

UK: Week Ahead

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

NEW ZEALAND: Q3 Consumer Spending Soft, More RBNZ Cuts Likely Before Year End

NEW ZEALAND
APACNew ZealandBulletGlobalFixed Income BulletsForeign Exchange BulletsRegionMarkets

August retail card spending rose 0.2% m/m, the first monthly rise since January, while the total fell 0.2% m/m. Retail sales look like they continued to deteriorate in Q3. This data is included in the list of high frequency indicators the RBNZ is monitoring and is consistent with 25bp rate cuts at the October and November meetings, as consumers remain under pressure and cautious.  

  • Tax cuts came into effect on July 31 and may have helped boost retail spending in August but it is likely too soon to ascertain if they are being spent or saved.
  • Retail spending is down 4.3% y/y after -3.9%, while 3-month momentum is still negative, it is improving. The monthly rise was driven by apparel and durables. Core retail rose 0.4% m/m.
  • Total card transactions were down 1.8% y/y in August after -0.8% with negative momentum also gradually progressing. Services spending increased 0.2% m/m and non-retail ex services fell 0.4%.

New Zealand retail sales y/y%

Keep reading...Show less
162 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.

August retail card spending rose 0.2% m/m, the first monthly rise since January, while the total fell 0.2% m/m. Retail sales look like they continued to deteriorate in Q3. This data is included in the list of high frequency indicators the RBNZ is monitoring and is consistent with 25bp rate cuts at the October and November meetings, as consumers remain under pressure and cautious.  

  • Tax cuts came into effect on July 31 and may have helped boost retail spending in August but it is likely too soon to ascertain if they are being spent or saved.
  • Retail spending is down 4.3% y/y after -3.9%, while 3-month momentum is still negative, it is improving. The monthly rise was driven by apparel and durables. Core retail rose 0.4% m/m.
  • Total card transactions were down 1.8% y/y in August after -0.8% with negative momentum also gradually progressing. Services spending increased 0.2% m/m and non-retail ex services fell 0.4%.

New Zealand retail sales y/y%

Keep reading...Show less