Links 24 June 2019

Global Macro / Markets / Investing:





Unconventional Economist


  1. … NEW ZEALAND … The reckless and socially irresponsible Bubble Banking days are over …

    How did ANZ lose money on a house in the hottest housing market in memory? | Kate MacNamara |

    OPINION: There is a casual arrogance to ANZ NZ chairman John Key’s handling of the David Hisco affair.

    And it complements, with delicate nuance, the entitlement of the former ANZ NZ chief executive himself. …

    … concluding …

    … ANZ shareholders and the New Zealand public can’t look at the accounting for Arawata, and they don’t know how it’s accounted for.

    Key certainly didn’t intend that they should when told a rather quaint fable last week about a banker with a $50,000 blind spot.

    That story is morphing into a saga about a bank and opacity and half-truths. One of the bankers is gone, but at the helm remains a man who is blind to hubris.
    … Remember John Key’s sorry history with the New Zealand National Party ? …

    GONE GONE GOING: The demise of the New Zealand National (Conservative) Party … Performance Urban Planning


    How Carrie Lam can cool the anger in Hong Kong – address the housing crisis … South China Morning Post

    Directly addressing the most pressing issue facing Hong Kong may be the government’s only way to pacify an outraged public. Public unrest reached boiling point with the government’s mishandling of the extradition bill, which has sparked massive protests. While the bill may have been the straw that broke the camel’s back, the government’s handling of Hong Kong’s housing problem has been a simmering public issue for years.

    A report last month found that, in April, Hong Kong home prices rose at their fastest pace in over six years. So, when the government tried to rush through the extradition bill, many questioned why it had taken precedence over the most important issue – Hongkongers’ livelihood. With the housing problem seemingly on the back-burner, it comes as no surprise that the public has become disillusioned.

    Frustration over housing has been building for years. Last year, the disparity between the rich and poor in Hong Kong was the greatest in 45 years. Unaffordable housing have contributed to an ever-widening wealth gap. For nine straight years, Hong Kong was and still is the world’s most expensive housing market, according to the Demographia International Housing Affordability Study. It is difficult for young Hongkongers, many of whom have taken part in the recent protests, to fathom that it would take a family on average 21 years to save enough money to buy a home in the city. … read more via hyperlink above …