Reserve Bank of New Zealand Financial Stability Report is barely moving NZD/USD:
- Households and businesses continue to face higher debt servicing costs
- Key risk to financial stability would be a significant deterioration in the labour market
- A prolonged downturn in dairy prices could see a material pickup in loan losses for banks.
- Financial system still adjusting to higher rates
- Banking system well placed to handle external shocks
- Banks preparing for deterioration in asset quality
