The Reserve Bank of New Zealand meet Thursday (local time)

  • Market expectations are they will cut the official cash rate by 25bps

The New Zealand Institute of Economic Research (NZIER) run a 'shadow board' (NZIER's Monetary Policy Shadow Board), and they recommend a 25 bp cut 9to 2%)

  • They note:
    Weak generalised inflation
  • Rampant house price inflation ("poses a risk to financial stability, but the Reserve Bank is looking to address this through further macro-prudential measures")
  • Decent momentum in the New Zealand economy
  • High NZD