RBNZ: Monetary Policy Statement to take centre stage this week - ANZ

Sandeep Kanihama FXStreet Contributor

According to analysts at ANZ, the RBNZ’s Monetary Policy Statement will take centre stage this week and while developments have been a mixed bag since the August Statement, but ANZ expects the RBNZ will remain cautious about the medium-term outlook and reassert a dovish tone.

Key Quotes

“Labour market data also out this week is expected to show a stable, tight labour market, providing continued support to household spending. So far, the household sector has been fairly resilient to the headwinds facing the economy, but our latest ANZ-Roy Morgan Consumer Confidence Survey shows that households are feeling a bit warier about the future.”

“Going forward, we expect that consumption will remain firm, supporting growth. But with businesses and even the RBNZ circumspect about the future, wariness may be here to stay – meaning household retrenchment is a key risk. There’s a slew of other data out this week, including a GlobalDairyTrade auction, with a further fall in dairy prices expected.”

Author

Sandeep Kanihama

FXStreet Contributor

Sandeep Kanihama is an FX Editor and Analyst with FXstreet having principally focus area on Asia and European markets with commodity, currency and equities coverage. He is stationed in the Indian capital city of Delhi.

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