PHOTO: There will be a whole lot less money in the economy now

With the residential housing market out of control and billions of free money circulating the economy the Reserve Bank Of New Zealand felt that they needed to raise the Official Cash Rate this afternoon 0.25% to 0.75%

housing boom

The great New Zealand ‘Property Boom’ is OVER!

With policy action seeping into the economy, the inflation expectations for the next two years is likely to rise to 2.96 per cent. This value is on the higher end of the central bank’s target range of 1 – 3 per cent. Meanwhile, the central bank’s five-year inflation expectations rose from 2.03 per cent to 2.17 per cent, representing the highest reported figure since September 2017.

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