Analysts at ANZ note that the RBNZ held the OCR at 1.75% today, in line with the expectations and employed a marginally more dovish tone than in the November MPS.
“It restored the comment that the next OCR move “could be up or down” and emphasised both upside and downside risks.”
“Downside developments since November have been incorporated in a slightly flatter projected OCR track, a weaker inflation track, and a weaker GDP growth track.”
“We continue to expect an OCR cut by year end as growth disappoints (starting in Q4); we are forecasting November, with two cuts to follow next year.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.