I had this out on twitter immediately, make sure you are following @ForexLive
Official cash rate left at 3.5%, as expected
- RBNZ says New Zealand dollar level is unjustified, unsustainable
- Says prudent to pause before considering more rate
- Expects significant further drop in New Zealand dollar
- Expects some rate tightening will be necessary
- Expects economy to grow 3.7% over 2014
- Sees inflation reaching 2% in Q3 2016
- Raises Q1 2015 GDP forecast to 2.6% (vs. 2.4%)
- Expect house price inflation continue to ease
- Reserve Bank of New Zealand raises 1Q 2015 GDP forecast from 2.7% to 3.2%. 1Q 2016 forecast from 2.4% to 2.6%.
