Breakfast briefing: Learning to live with less oil
The New Zealand economic briefing highlights a global shift in oil demand driven by China, alongside mixed US economic indicators including rising trade deficits and cooling payroll growth. Additionally, the report notes a major earthquake in Japan and ongoing volatility in US Treasury yields.
Why it matters
Understanding these macroeconomic trends is crucial for investors and policymakers monitoring global supply chains and interest rate environments.
Here's our summary of key economic events overnight that affect New Zealand, with news China's clear need for less oil has pushed its price sharply lower even as both the Gulf of Hormuz and the Red Sea remain effectively shut. As other sources raise their output, global demand is being undermined, essentially by this Chinese transition.
But first up today, we should note the overnight dairy Pulse auction . Prices achieved were a bit more than -1% lower than the prior week's full auction in USD, but a bit less than that in NZD.
In the US, the ADP weekly private payrolls monitoring recorded another easing, only +15,000 and extending the easing trend that has been in place since early May.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in