Singapore Growth Outlook Brightens for 2025 as Economists Flag AI and Geopolitical Risks 
RBA Unlikely to Cut Interest Rates in 2026 as Inflation Pressures Persist, Says Westpac 
Kevin Hassett Says Inflation Is Below Target, Backs Trump’s Call for Rate Cuts 
Gold Prices Fall Amid Rate Jitters; Copper Steady as China Stimulus Eyed 
Trump Defends Economic Record in North Carolina as Midterm Election Pressure Mounts 
Asian Fund Managers Turn More Optimistic on Growth but Curb Equity Return Expectations: BofA Survey 
Austan Goolsbee Signals Potential for More Fed Rate Cuts as Inflation Shows Improvement 
Chinese Robotaxi Stocks Rally as Tesla Boosts Autonomous Driving Optimism 
Canada Signals Delay in US Tariff Deal as Talks Shift to USMCA Review 
Russia Stocks End Flat as Energy Shares Support MOEX Index 
Asian Currencies Slip as Dollar Strengthens; Indian Rupee Rebounds on Intervention Hopes 
U.S. Stock Futures Edge Higher as Micron Earnings Boost AI Sentiment Ahead of CPI Data 
New Zealand government bonds sharply rallied at the time of closing in response to the country’s coalition government downward revision of its economic and fiscal forecasts in its half-yearly update released early Thursday.
At the time of closing, the yield on the benchmark 10-year Treasury note, which moves inversely to its price, slumped 6 basis points to 2.78 percent, the yield on 20-year note plunged 7-1/2 basis points to 3.32 percent while the yield on short-term 2-year ended 1 basis point lower at 1.95 percent.
The twice-a-year economic and fiscal update was the first for Labour since it took the helm in October, ending nine years of center-right National Party rule. Labour's plans to curb demand in the housing by banning foreign buyers of existing homes and expanding taxes on investment properties had also led many economists to forecast home prices would drop in the next year.
The Treasury cut its forecast economic growth to 3.3 percent in the year to June 2018 and 3.4 percent the following year, compared to the predicted 3.5 percent growth for each year in the August forecast. Over the long term, the Treasury expected the government spending would help lift economic growth as more money flowed through the economy, and predicted higher GDP for 2020 and 2021 than in August's forecasts.
The government predicted an NZD2.54 billion surplus in the year to June versus Treasury's prior forecast of NZD2.86 billion in its August pre-election economic and fiscal update. It plans to spend NZD32.9 billion from its capital spending budget over the next four years, rising from the proposed NZD26.2 billion in the August update.
Meanwhile, the NZX 50 index closed 0.45 percent higher at 8,360.86, while at 05:00GMT, the FxWirePro's Hourly NZD Strength Index remained highly bullish at 136.77 (a reading above +75 indicates a bullish trend, while that below -75 a bearish trend). For more details, visit http://www.fxwirepro.com/currencyindex
FxWirePro launches Absolute Return Managed Program. For more details, visit http://www.fxwirepro.com/invest
