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The RBNZ won't go negative. Why would it?

Rebecca Howard
Fri, 01 Jan 2021

Rebecca Howard
Fri, 01 Jan 2021
This article has been republished. It was first published in October 2020.The Reserve Bank won’t cut the official cash rate into negative territory for a simple reason - it doesn’t need to.Yesterday, RBNZ officials gave a press briefing on alternative monetary policy tools, including negative rates. Despite a string of headlines from the likes of Reuters and Bloomberg stirring up traders and prompting economists to trumpet how dovish the central bank is, the officials didn’t say anything new.Except for one – largely over...

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