ANZ on the Reserve Bank of New Zealand rate cut this morning:
- Decision was as expected (here is ANZ yesterday ... ANZ: RBNZ will cut tomorrow, may remove "unjustified", "unsustainable" comments on NZD)
- Statement contains a clear easing bias
- Perhaps not as dovish as some had expected
- This the RBNZ will cut again in September
Outlook for AUD/NZD:
RBNZ DAY...Yesterday's Q2 CPI and Governor Stevens both reinforced the notion that the RBA has a relatively high hurdle on its easing bias
The RBNZ eased this morning, demonstrating the divergence, but positioning is a short-termhurdle.
Expected range: 1.1050 - 1.1200
Earlier:
- NZD/USD orderboard
- Westpac on the RBNZ decision & targets for NZD/USD & AUD/NZD
- NZD after the RBNZ cut decision - levels to watch
- RBNZ cuts rates by 25 basis points