Highlights of the RBNZ rate decision Dec 10, 2015:
- Prior was 2.75%
- Expects for interest rates to remain steady
- Says will reduce rates if needed
- The RBNZ only pushed forecasts for hitting the inflation target by one quarter
- Sees early signs Auckland housing market may be moderating
- Monetary policy needs to be accommodative
- Will closely watch emerging flow of eco data
- Recent rise in NZD unhelpful
There is no sign here of another rate hike and NZD has picked up on that. After a quick move lower it ran to session highs. Last at 0.6680.
Calling NZD rise 'unhelpful' is weaker jawboning that usual too. That's a long way from a threat of intervention.
