Strategist

The more we look at New Zealand’s capital expenditure trends and pointers, the more upbeat we become. Following what turned out to be a major slump in private sector investment during the 2008/09 recession (which would have crimped supply potential) there is room for much more of a rebound than we’ve seen so far. Turning to architects in the QSBO, they suggest New Zealand’s construction upswing is not only well in train but looks likely to surprising many to the upside. And it’s not just residential, but government and non-residential work that is on the up and up as far as they can see it. For the 31 October ANZ business survey two candidates for having dented it are 1) the renewed lift in the NZ dollar and 2) the fiscal brinksmanship in the United States. Still, the survey has shown great resilience to all

manner of headwinds for quite a while now. Indeed, it’s lately been showing strong pricing intentions.