Dawn chorus: Landlords borrow big

RBNZ figures show landlords borrowed $4.3b in month of December while first home buyers borrowed $1.7b; ANZ stops taking online mortgage applications to stem flood of demand

TLDR: Morena. Reserve Bank figures show 45% of the $9.6b of new lending into the housing market in the month of December was to landlords, while just $1.7b went to first home buyers. Demand for mortgages is so strong ANZ has stopped taking online applications and BNZ will only deal with existing customers. The LVR restrictions can’t come soon enough.

Watch out on Wednesday at 2pm for the Reserve Bank’s Monetary Policy Statement for any signs it might tighten monetary policy. Markets are betting on hikes next year and pushed the Kiwi dollar up to a fresh three-year high over the weekend of 73.25 USc. That already represents a 3% ‘tighter’ currency than the bank forecast in November. I suspect the bank will be a lot more dovish than the markets expect.

Overseas over the weekend, Scott Morrison chose to become the second Australian given the covid-19 vaccine yesterday and Australia reopened its one-way travel bubble with New Zealand last night. Morrison said he wanted to show the public how safe the vaccine was. Also, Uber’s contractor-dependent business model is in doubt in Britain after the Supreme Court there ruled drivers were employees, and Bitcoin rose over US$57,680 over the weekend, meaning all the Bitcoin in the world are worth a collective US$1t.

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Briefly in our political economy

Madison Reidy @maddireidy

Banks are overwhelmed with demand for mortgages. The biggest lender @ANZ_NZ has stopped accepting online home loan applications. Others aren't responding to applicants at all.

newshub.co.nzFirst-home buyers fear missing out as mortgage backlog stalls applications before LVR restrictions returnIf they don’t make it through the process before lending restrictions return they’ll have to stump up twice the cash.

Morning Report @NZMorningReport

Seven out of 10 New Zealanders support giving greater income support to those on low wages, or unemployed. The UMR poll was commissioned by more than 40 separate organisations, including unions, social service providers, and kaupapa Māori groups.

rnz.co.nzSurvey finds wide support for greater income support<p>Seven out of 10 New Zealanders support giving greater income support to those on low wages, or unemployed. </p> <p>The UMR poll was commissioned by more than 40 separate organisations, including unions, social service providers, and kaupapa Māori groups. </p> <p>It surveyed more than 1100 peopl…

RNZ News @rnz_news

Up to 800,000 New Zealanders may have increased bowel cancer risk due to nitrates in water

rnz.co.nzUp to 800,000 New Zealanders may have increased bowel cancer risk due to nitrates in waterBetween 300,000 and 800,000 New Zealanders may be exposed to potentially harmful levels of nitrates in their drinking water, which may increase their chances of developing bowel cancer.

TVNZ Breakfast @Breakfaston1

"I would anticipate us continuing to move through alert levels," Prime Minister @jacindaardern has told us ahead of Cabinet's decision on Auckland's COVID-19 restrictions today, hinting level one is on the cards "bar anything significant coming through".

nzherald @nzherald

Revealed: Cost of our new Matariki holiday  nzherald.co.nz/nz/matariki-ho…

In the global political economy

CNBC International @CNBCi

Elon Musk says bitcoin seems high after surpassing $1 trillion market cap

cnb.cxElon Musk says bitcoin seems high after surpassing $1 trillion market valueThe price of bitcoin crossed a major milestone Friday after the market value reached more than $1 trillion, leaving some major backers surprised.

Reuters Business @ReutersBiz

New Zealand to push for tariff-free trade of COVID-19 essentials at APEC reut.rs/3blEYGQ

Reuters Business @ReutersBiz

Sunak to raise business tax to pay for COVID-19 support - The Sunday Times reut.rs/3uiHHcL

Reuters Business @ReutersBiz

Facebook is back at the negotiating table, Australian Prime Minister Scott Morrison said after the tech giant blocked news on its site in the country. Read more here: reut.rs/3bn7xUb $FB

My longer reads and listens over the weekend

Dileepa Fonseka @dileepa_fonseka

“As a small country at the bottom of the world, New Zealand is at the whim of international shipping companies, which have recently shown us they can make swift business decisions to bypass our ports.”

stuff.co.nzHow the port blockage threatens our global trade networkOPINION: The ever more powerful shipping lines must not be given reason to skip us.

The New York Times @nytimes

Texas, the nation’s leading energy-producing state, seemed like the last place that could run out of power. But the state, which stayed out of interstate power grids, is now having to answer to millions of residents who were left without lights or heat.

nyti.msHow Texas’ Drive for Energy Independence Set It Up for DisasterTexas has refused to join interstate electrical grids and railed against energy regulation. Now it’s having to answer to millions of residents who were left without power in last week’s snowstorm.

Signs o’ the times news

RNZ @radionz

Landlords unwilling to renegotiate leases, fewer locals coming into Queenstown's town centre and the economic effects of Covid are making it harder for businesses to survive in the resort town, according to a departing retailer.

rnz.co.nzQueenstown business no longer viable without international touristsLandlords unwilling to renegotiate leases, fewer locals coming into Queenstown’s town centre and the economic effects of Covid are making it harder for businesses to survive in the resort town, according to a departing retailer.

Ka kite anō

Bernard

PS: Please take a moment at 12.51pm today to remember the 10th anniversary of the main Christchurch quake that claimed 185 lives.

PPS: Some fun things. There’s a lot today. We need it

Jeremy Greenbrook-Held @JGreenbrookHeld

You can't beat Wellington on a good day!

Julianne Hickey @JulesHickey

@RebeccaJEmm She phoned the council, got told to write an email...and she did!

Classic Pics @Classic_picx

Happy Birthday to the legend Kurt Cobain, who would've been 54 today

Christopher Bishop @cjsbishop

Boom

Brendan May @bmay

Excellent, someone has done the inevitable Attenborough voice over. Perfect👌😂 Well done, whoever it was.

𝑇ℎ𝑒 𝐺𝑙𝑎𝑐𝑖𝑒𝑟 @geography_point

Australian Pink Robin Bird #NaturePhotography #Nature