RBNZ: No more rate cuts after NZ inflation surprise – Bloomberg
|The Reserve Bank of New Zealand (RBNZ) may not need to go for further interest rate cuts following an upside surprise to New Zealand’s Q4 CPI report, Bloomberg reports, citing Jarrod Kerr, Chief Economist at Kiwibank in Auckland.
Key takeaways
“The medium-term outlook for inflation looks stronger compared to just a few months ago.”
“Monetary conditions are easy enough.”
“Investors no longer expect the RBNZ to cut the official cash rate again.”
New Zealand’s CPI for Q4 2020 came in at 0.5% QoQ vs expected 0% and prior 0.7%.
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