What a difference a week makes

Economists are busily revising their forecasts for the official cash rate following recent economic news. A week ago, after the latest Reserve Bank announcement, there was an emerging view the cash rate would start rising as soon as next month. These increases could be as much as 50 basis points.

Today these forecasts aret being pushed back and an increase in December is more probable.

On the home loan front we haven't seen any lender follow ASB, which reversed its hikes of a week ago, and lower fixed rates across the board.

Kiwibank, though, did lower its one-year rate as we reported here