• RBNZ stuck in the mud
• Rates on hold as benign outlook assumed
• But NZD is plummeting
• Threatening higher inflation and much higher interest rates
• Be prepared!
At face value, today’s RBNZ statement was dovish in nature, and perhaps surprisingly so. Despite the housing market going from strength to strength, the drought ending, and GDP growth unexpectedly robust, the Reserve Bank has stuck with its view that the cash rate can stay where it is until the third quarter of 2014.
Read the full report: Economic Research
BNZ