Negative rates even less likely after strong CPI

Negative rates even less likely after strong CPI
Rebecca Howard
Higher prices for domestic accommodation, building a new home, and used cars have knocked negative rates off the table.The Consumers Price Index lifted 0.5 percent in the December quarter and annual inflation came in at 1.4 percent, within the Reserve Bank of New Zealand’s 1 to 3 percent target range but below the mid-point.“The fourth quarter CPI report was much stronger than we, and the market, had expected,” said Kiwibank chief economist Jarrod Kerr.The market had been expecting a 0.2 percent lift in line with the RBNZ&rsqu...

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Food prices rise 4.6% in the year to June
Economy

Food prices rise 4.6% in the year to June

New stats show food prices rose 4.6% in the year to June – the largest rate of increase since late 2023.That was up from a 4.4% increase in the year to May, Stats New Zealand’s latest selected price indexes show.Rising prices for fruit and vegetables in June have contributed to a...

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New gig for former RBNZ governor Adrian Orr

Orr abruptly quit the RBNZ last March. 

Rebecca Howard 15 Jul 2025
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The combined PSI and PMI is supportive of further RBNZ rate cuts.

Rebecca Howard 14 Jul 2025
August RBNZ rate cut beckons but not a done deal
Economy

August RBNZ rate cut beckons but not a done deal

It will all come down to how the data pan out. 

Rebecca Howard 10 Jul 2025