Mkt needs to be 'more comfortable' with low rates until business shifts behavior says Orr

Fri, 11 May 2018

By Rebecca Howard May 11 (BusinessDesk) - Central Bank governor Adrian Orr said the market needs to be "more comfortable" with expansionary monetary policy if businesses keep looking backward when setting prices, but acknowledged the bank could get caught behind the curve. On Thursday the central bank held rates at a record low 1.75 percent and said it expected to keep the official cash rate at an expansionary level for a considerable period of time as inflation remains well below the mid-point of its 1 percent to 3 percent target range....

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