Comments from Orr in the press conference

Comments from Orr in the press conference
  • Watch live here
  • RBNZ is confident that less monetary stimulus is needed
  • We're far less concerned about a lockdown than we would have been at this time last year
  • We see the country very capable of keeping economic momentum
  • Our clear direction is to be reducing monetary stimulus
  • In a sense, this hasn't shifted us at all from our broad path
  • Our concern is around supply capacity for the medium term
  • We're going to have rolling periods of covid disruption and we have to be able to manage those periods
  • We've very adamant that house prices are above a sustainable level. Notes coming supply coming on is the highest since the 1960s.
  • Estimates New Zealand is six months ahead of the rest of the world on the reopening
  • There was 'a very strong' consensus about keep rates on hold. We didn't have to go to a vote
  • Neutral OCR is 2.00%

I don't get a chance to listen to Orr live very often but the man certainly has a way of speaking with confidence and instilling it anyone who is listening. FX traders certainly like what they're hearing:

NZDUSD

As I wrote earlier:

If the kiwi doesn't sustain a break below 0.6900 on a surprise rate decision, 5 new covid cases and the top health official saying they expect 50-100 cases, then what could possibly sink this pair?