BNZ now expects the RBNZ cash rate to peak at 5% (vs. 5.5% prior forecast)
<p>BNZ still forecast a 50 rate hike on February 22 from the Reserve Bank of New Zealand.</p><p>The revision to the terminal rate comes after the jobs data earlier:</p><ul><li><a href="https://www.forexlive.com/news/new-zealand-jobs-report-for-q4-2022-unemployment-rate-34-expected-33-20230131/" rel="follow" target="_self" class="article-link vertical-align-baseline">New Zealand jobs report for Q4 2022: Unemployment rate 3.4% (expected 3.3%)</a></li><li><a href="https://www.forexlive.com/news/nzdusd-drops-a-few-points-after-the-new-zealand-jobs-market-report-20230131/" rel="follow" target="_self" class="article-link">NZD/USD drops a few points after the New […]
NZD/USD struggles to sustain above 0.6500 as USD Index shows stellar recovery
NZD/USD is facing hurdles in shifting its auction above 0.6500 amid a recovery in the USD Index. Softening consumer spending has bolstered the expectations of a smaller interest rate hike by the Fed. This week, the release of the NZ Employment data will be of utmost importance. The NZD/USD pair is failing in keeping its […]
AUD/NZD sees range extension above 1.0950 on solid NZ Trade Balance data
AUD/NZD is expected to extend recovery above 1.0950 despite firmer NZ Trade Balance data. A higher NZ labor cost index will escalate inflation projections further. Weaker Australian monthly Retail Sales might ease some troubles for the RBA. The AUD/NZD pair has displayed a sharp recovery move after a gap down open to near 1.0926 in […]
Westpac is forecasting a +50bp RBNZ rate hike in February
<p>WPAC forecasting a 50bp Reserve Bank of New Zealand rate hike at the February meeting (22nd)</p><p>(not RBA, WPAC tip +25bpfor RBA on February 7)</p><p>Follows the <a href="https://www.forexlive.com/terms/i/inflation/" class="terms__main-term" id="ad51a5a2-1afc-4f42-9e62-ea6faf6f90fa" target="_blank">inflation</a> data from NZ earlier today:</p><p class="article-slot__title title top"><a href="https://www.forexlive.com/news/new-zealand-q4-inflation-14-qq-expected-13-72-yy-expected-71-20230124/" rel="follow" target="_self" class="article-link">New Zealand Q4 inflation 1.4% q/q (expected 1.3%) 7.2% y/y (expected 7.1%)</a></p><p class="article-slot__title title […]