War ends fixed loan rate falls

hdad, the yield on US 10-year Treasury bonds have soared about half a percentage point from what was their lowest level since 1958. The market is betting that the US will quickly win the war, clearing the way for the US economy to rebound.

Where US bonds go, so the rest of the world’s wholesale markets follow.

"At the moment, there’s growing confidence that the war will be reasonably quick and contained," ASB Bank chief economist Anthony Byett says.

"What we’ve seen is the removal of the risk premium that’s built up in the last few weeks. If there’s a quick resolution to the war, you will see the fixed rates in New Zealand go up reasonably quickly."

Read More - Opens in a new window