With retail spending and the housing market faltering and domestic inflation running below the Reserve Bank's expectations, governor Alan Bollard is likely to leave interest rates unchanged at record lows next week but everybody is expecting a hike soon.

ASB Bank's December quarter profit slipped, as did its share of the mortgage market.

Reserve Bank governor Alan Bollard stuck to the script in leaving interest rates unchanged and indicating he may start hiking about the middle of the year.

Softer than expected inflation, retail sales and employment data and signs the housing market recovery has stalled will likely mean Reserve Bank governor Alan Bollard leaves interest rates unchanged on Thursday and he will reiterate the first rate hike is likely about mid-year.

TSB Bank's December quarter net profit surged and its mortgage book continued to grow strongly.

ANZ Bank reported net profit surged in the December quarter although its mortgage book was barely changed.

Westpac's New Zealand subsidiary's mortgage book galloped away in the December quarter, growing much faster than its market share and at nearly double the rate of the previous quarter.

Bank of New Zealand's December quarter net profit rose, thanks to a tax credit as a result of its settlement with the Inland Revenue Department over its structured finance transactions.

The Government-owned Kiwibank's profitability went backwards in the December quarter, the first time since inception it didn't improve, but its mortgage book continues to grow much faster than its market share.

Reserve Bank governor Alan Bollard has left interest rates unchanged and reaffirmed his expectation he will begin hiking rates around the middle of the year.

Benign inflation numbers put paid to any expectations Reserve Bank governor Alan Bollard to hike rates on Thursday and the debate is now focused on the first rate rise of the current cycle coming somewhere between March and June.

SBS Bank’s September quarter net profit fell 12%, largely reflecting a drop in net interest income, while its share of the mortgage market held steady over the quarter.

Westpac's New Zealand subsidiary saw a sharp drop in profitability in the September quarter, reflecting rising charges against profit for bad loans, although its mortgage lending grew faster than the average of the other banks.

It seems what really scuppered DNZ Property Fund's up to $140 million capital raising and plans to list on the NZX was MMG Advisory Partners' threat of legal action over alleged breaches of the Companies Act and DNZ's constitution.

Reserve Bank governor Alan Bollard surprised financial markets by taking a slightly more hawkish stance on when interest rates need to rise again, bringing him more in line with what most economists are thinking.

National Australia Bank-owned Bank of New Zealand was barely profitable in the September quarter, partly reflecting increased charges for bad loans, and its mortgage book grew sluggishly.