I'm Bernard Hickey from interest.co.nz with 90 at 9 with ASB
General Motors is close to bankruptcy after bondholders
rejected a debt for equity swap. The Dow fell 2% on
the prospects of a GM bankruptcy. A sharp rise
in US Treasury yields also worried stock investors
The US 10 year yield rose to 3.7% from 3.4%
Lenders are worried about big government deficits
and huge government bond issues
Here in New Zealand, ANZ and National put up their
3,4 and 5 year mortgage rates because of a rise
in longer term wholesale rates, partly on fears
the government will announce a NZ$40 bln bond
issuance programme along with big deficits
Meanwhile ANZ announced plans to raise A$2.5 bln
to pay for the acquisition of Asian assets
I'm Bernard Hickey with 90 at 9 with ASB
Better get long TBT.
Ntone606 2 years ago