The New Zealand economy faces at least short-term growth challenges as businesses face higher costs...

The world economy is still growing, which is a generally positive background for risk assets, but investment outcomes have become overdependent on ongoing gains from U.S. equities. The most likely outlook is ongoing global expansion, though trade wars, monetary policy mistakes, problems in some emerging markets, and geopolitical shocks are all real risks to monitor...

In New Zealand, there is clear evidence that the economy is slowing down, with one outcome being the response from the central bank to keep interest rates low for even longer...

Markets in recent weeks have been upset by the potential threat to world economic activity from trade frictions between the United States and other major countries and trading blocs. There have been other episodes of concern over global growth since the current post-crisis global recovery set in...