ASB note on what they expect from Reserve Bank of New Zealand monetary policy

  • ASB previously had a forecast for the OCR to fall to 2.5%
  • Now expect cuts to take it to 2%
  • A cut in December 2015, then in June and August of 2015

ASB cite persistently weak inflation pressures

More:

  • See the RBNZ as reluctant cutters
  • RBNZ will want to watch and wait, assess the impact of the cuts so far of 2015
  • "We expect unemployment to rise and for the fall in the NZD to be less inflationary than the RBNZ expects."
  • "We have a strong view that the RBNZ will likely be disappointed with what they see"

via Bloomberg
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NZD is off a few pips: