Technicals on the chart.
- two consecutive quarterly falls for CPI data and petrol price had a decline of nearly 10%
- milk dairy prices on the decline
- RBNZ
- USD Rate hikes still on the table. Looking for direction from Non Farm Payrolls.
- Milk : Fonterra cuts forecast milk price to NZ$4.50/kg
Keeps dividend range at 20 to 30 NZ cents per share
Sees oversupply in market
Comments from RBNZ:
Economy supported by low rates, high immigration, construction, falling fuel prices
Says if wage and price setting outcomes settle lower, could cut rates
Not currently considering a rate increase
Would be appropriate to lower the cash rate if demand weakens
NZD unjustifiably high and unsustainable
Comments from BNZ
We do expect GDP growth to slow and for that growth to be lower than the RBNZ anticipates
Will be accompanied by a weakening in the exchange rate that will offset the disinflationary impact of the slowdown leaving the RBNZ's projected inflation track largely unchanged
- two consecutive quarterly falls for CPI data and petrol price had a decline of nearly 10%
- milk dairy prices on the decline
- RBNZ
- USD Rate hikes still on the table. Looking for direction from Non Farm Payrolls.
- Milk : Fonterra cuts forecast milk price to NZ$4.50/kg
Keeps dividend range at 20 to 30 NZ cents per share
Sees oversupply in market
Comments from RBNZ:
Economy supported by low rates, high immigration, construction, falling fuel prices
Says if wage and price setting outcomes settle lower, could cut rates
Not currently considering a rate increase
Would be appropriate to lower the cash rate if demand weakens
NZD unjustifiably high and unsustainable
Comments from BNZ
We do expect GDP growth to slow and for that growth to be lower than the RBNZ anticipates
Will be accompanied by a weakening in the exchange rate that will offset the disinflationary impact of the slowdown leaving the RBNZ's projected inflation track largely unchanged