Westpac adds another rate cut to its forecasts

Westpac now sees the OCR troughing at 3%. (Image: Unsplash)

Fri, 09 May 2025

Westpac Bank now expects the official cash rate (OCR) to trough at 3% and has pushed back the timing of its forecast tightening cycle.“Downside risks from global growth suggest the RBNZ [Reserve Bank of New Zealand] may continue easing beyond May,” chief economist Kelly Eckhold said.Economists widely expect the RBNZ to cut by 25 bps on May 28, but are divided on what will happen after that.Westpac previously forecast that this would be the end of the cutting cycle. Other economists are tipping the cash rate as low as 2.5%. &ldq...

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