Global food prices surge

<p>Kia ora,</p><p>Welcome to Friday's Economy Watch where we follow the economic events and trends that affect New Zealand.</p><p>I'm David Chaston and this is the International edition from Interest.co.nz.</p><p>Today we lead with news global food prices rocketed high again in March.</p><p>But first, there was a somewhat surprising rise in <a href="https://www.dol.gov/sites/dolgov/files/OPA/newsreleases/20210646.pdf" target="_blank"><strong>US jobless claims</strong></a> last week, surprising because it cuts across the recent narrative that things are improving fast in their labour market. There were +741,000 new claims last week, well above the expected level of +680,000. Now there are just on 4 mln people on these benefits.</p><p>US housing market activity is probably slowing too, with <a href="https://www.mba.org/2021-press-releases/april/mortgage-applications-decrease-in-latest-mba-weekly-survey" target="_blank"><strong>mortgage applications down</strong></a> -5% last week from the prior week, and now down -20% on a year-on-year basis. <a href="http://www.freddiemac.com/pmms/" target="_blank"><strong>Mortgage interest rates</strong></a> had an interruption to their 2021 trend higher, with the benchmark 30yr fixed rate slipping slightly to 3.13% plus points.</p><p>Internationally, US Treasury Secretary Janet Yellen's <a href="https://www.wsj.com/articles/a-better-corporate-tax-for-america-11617813355?st=zq0p118q6vwj8d7" target="_blank"><strong>push</strong></a> for a global minimum tax rate for multinational companies got a boost from her boss who <a href="https://www.ft.com/content/847c5f77-f0af-4787-8c8e-070ac6a7c74f"><strong>said</strong></a> these companies should pay taxes where they operate. But it is getting some surprising pushback from the World Bank, the boss of which <a href="https://www.bbc.com/news/business-56666001" target="_blank"><strong>claimed</strong></a> the suggested 21% minimum was "too high". And China, and it tax haven Hong Kong, is <a href="https://www.scmp.com/economy/china-economy/a