Inflationary pressures are building

Posted by admin as Petrol Prices Australia

http://www.interest.co.nz

Hello I’m David Chaston from interest.co.nz with our morning briefing, 90 at 9

Everything you need to know in 90 seconds at 9 o’clock, starting now with news that….

Inflationary pressures are building on our Reserve Bank.

The price of regular petrol rose to NZ$2.12 a litre yesterday and the New Zealand dollar fell through 75 US cents overnight, which will increase the price of imports, such as fuel.

This is on top of news yesterday that food prices were up 6.7% in May from a year ago.

There’s also news overnight that the credit crunch is far from over.

US investment bank Lehman Brothers is having trouble raising US$6 billion in fresh cash.

Lehman was also forced by angry shareholders to dump its new chief financial officer and its chief operating officer. Its shares have fallen 60% this year and there are fears it may go the same way as Bear Stearns.

And finally, there’s news from Australia of big troubles for investment bank and power company owner Babcock and Brown.

Shares in Babcock and Brown Power fell 30% late yesterday on fears it may not be able to repay its large debts. Babcock and Brown Power owns New Plymouth’s Powerco.

That was 90 at 9 from interest.co.nz

Duration : 0:1:31

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