RBNZ monetary policy decision on 07.11.2018
- RBNZ sees average OCR at 1.75% in Q1 2020, 1.81% in Q2 2020, 1.88% in Q3 2020, 1.96% in Q4 2020.
- RBNZ SAYS EXPECTS TO KEEP THE OCR AT THIS LEVEL THROUGH 2019 AND INTO 2020
- RBNZ SAYS THERE ARE BOTH UPSIDE AND DOWNSIDE RISKS TO OUR GROWTH AND INFLATION PROJECTIONS
- RBNZ SAYS TIMING AND DIRECTION OF ANY FUTURE OCR MOVE REMAINS DATA DEPENDENT
- RESERVE BANK OF NEW ZEALAND SAYS PICK UP IN GDP GORWTH IN Q2 WAS PARTY DUE TO TEMPORARY FACTORS
- BIZ SURVEY CONTINUE TO SUGGEST GROWTH WILL BE SOFT IN NEAR TERM
- RESERVE BANK OF NEW ZEALAND SAYS EMPLOYMENT IS AROUND MAX SUSTAINABLE LEVEL
- Below target CPI requires continued supportive policy.
NZDUSD went into the statement at 0.6790, comes out at 0.6780 as RBNZ tries to look through the inflation spike, recognises the better outlook by bringing forward a rate hike by approx 3 months. There were expectations to bring it forward 2 quarters but they didn’t go for the bait.
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