NZGBS: Little Changed, Subdued NY Session In Lead Up To Thanksgiving

In local morning trade, NZGBs are flat to 1bp cheaper after a predictably uneventful and range-bound NY session in the lead-up to the Thanksgiving holiday. US tsys finished with yields 2-3bps lower across benchmarks. The FOMC minutes provided no new information, with the report reaffirming the higher-for-longer stance. There was little market reaction.

• US existing home sales were much weaker than expected at -4.1% m/m in October. It was the fifth consecutive monthly decline, with sales at their lowest level since 2010.
• Wall Street ended lower, unwinding some of Monday's strong rally. Trading was cautious ahead of the Nvidia news after the bell. To that end, Nvidia delivered another beat.
• Swap rates are unchanged.
• RBNZ dated OIS pricing is little changed.
• NZCity reports that ANZ Chief Economist Sharon Zollner says how this season's drought could hit farmers and their exports, remains to be seen. She says it could mean less milk production, but it could also see a short-term boost in meat production, which will pay for next season. (See link)
• Today, the local calendar is empty, with the next release being Q3 Retail Sales Ex-Inflation on Friday.
• Tomorrow, the NZ Treasury plans to sell NZ$225mn of the Apr-29 bond, NZ$225mn of the Apr-33 bond and NZ$50mn of the Apr-37 bond.