New Zealand: Housing market strength not to be persistent – ANZ

After rebounding in the second half of 2019, the housing market in New Zealand started 2020 on a solid footing, economists at ANZ Research reports. NZD/USD trades at 0.6244.

Key quotes

"House prices rose a strong 2% m/m in February, to be up 8.6% y/y."

"With a significant global demand slowdown in train, it’s hard to see strength in the housing market persisting for long."

"We now see a domestic recession as highly probable, with flow-on impacts to incomes and sentiment expected to weigh on the housing market into the middle of this year."