NZ Economy Shows Mixed Signs of Recovery
No significant changes were made to mortgage rates today.
The service sector Purchasing Managers' Index (PSI) for August showed a mixed performance, with a tame net gain. The expansion was modest due to rising new orders, but most other components did not grow much or retreated.
The New Zealand economy is showing signs of recovery, particularly in the tourism industry, which has seen annual short-term visitors increase to 3.7 million in the July year. Despite global tensions, demand for New Zealand tourism and a weaker NZD have supported the local economy.
The Rabobank dairy analyst increased its forecast for the New Zealand farmgate milk price to $10/kgMS, higher than Fonterra's current rate of $9.25/kgMS. The avocado industry is also expecting a record season with almost eight million trays expected to enter domestic and export markets in 2026-27.