HiFX Data Update - NZ Inflation Expectations Survey Release
The RBNZ just released the results of their Q1 Inflation Expectations Survey.
The inflation expectations were higher when compared with Q4 2017 figures.
1 year inflation expectations +1.86% (compared with Q4 +1.87%)
2 year inflation expectations +2.11% (compared with Q4 +2.02%)
The NZD traded a little higher in immediate response.
The RBNZ pays close attention to these figures as expectations of future inflation plays a pivotal role in the formation of monetary policy, as expected inflation can turn into actual inflation.
Current indicative levels are:
NZD-USD 0.7285 /
NZD-AUD 0.9275 / 0.9300
NZD-EUR 0.5895 / 0.5920
NZD-GBP 0.5245 / 0.5270
NZD-JPY 78.50 / 78.75