RBNZ, Interest Rate Decision!
On December 10.2015., RBNZ reduced the Official Cash Rate (OCR) by 25 basis points, from 2.75 to 2.50 percent. CPI inflation was below the 1 to 3 percent target range in December, mainly due to the earlier strength in the New Zealand dollar and the 65 percent fall in world oil prices since mid-2014. on the same time. The inflation rate is expected to move inside the target range from early 2016, as earlier petrol price declines will drop out of the annual calculation, and the lower New Zealand dollar will be reflected in higher tradables prices.
So, what to expect today from the Govenor Graeme Wheeler? The market expectation is that the Reserve Bank of New Zeland stay on hold with rates at 2.5 percent. Any surprises could move the NZD strong in both ways. More cut could damage the Kiwi strong and possible hike back, wich is not likely, could boost the Kiwi up strong. Based on the current CPI, cut is more likely, but expectation from RBNZ is to stay on hold at 2.5 percent. We will se the decision soon. Stay alert!
20:00 h (GMT) – RBNZ Interest rate Decision!!! > Current 2.5%, Expectation 2.5%. > Update, rate stays at 2.5%!!!