Market Information Tuesday 07 July 2026

New Zealand’s central bank, the Reserve Bank of New Zealand (RBNZ), is expected to raise its Official Cash Rate (OCR) by 25 basis points to 2.5% this week, according to 16 of 22 economists surveyed by Bloomberg, with markets pricing a 70% chance of a hike. The Monetary Policy Committee (MPC) held the OCR at 2.25% since November, but reviving demand and inflation concerns may prompt a hike, while some economists favour waiting until September.

China has increased Middle East oil purchases, buying at least 26 million barrels for July-August delivery, far above its typical 5.5 million barrels a day. Saudi Aramco offered deep discounts on its Arab Light crude, the steepest since June 2020, following the partial reopening of the Strait of Hormuz. Analysts expect this to boost Chinese buying further, though Beijing is cautious about signalling a full return, as commercial stocks were depleted by nearly 1 million barrels a day during the Iran war.

Japan’s 30-year government bonds rose after Tuesday’s auction drew the strongest demand since 2019, with a bid-to-cover ratio of 4.55 versus 2.94 previously. The yield fell seven basis points to 4.005%. Investors were attracted by historically high yields despite concerns over Prime Minister Sanae Takaichi’s large spending plans and doubts the Bank of Japan (BOJ) is raising rates fast enough to contain inflation, as the yen weakens to a four-decade low against the dollar.

The 6M Euribor decreased with 2 basis points to 2.55% compared to previous business day. The 10Y Swap increased with 1 basis point to 3.00% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented.