The RBNZ have maintained the Official Cash Rate (OCR) at 1.75%. This was widely expected.
The key points in the
RBNZ statement and full monetary policy statement
• Expects to keep the OCR at this level through 2019 and into 2020
• There are both upside and downside risks to our growth and inflation projections
• Timing and direction of any future OCR move remains data dependent
• Pick up in GDP growth in Q2 was partly due to temporary factors, business survey continue to suggest growth will be soft in near term
• Employment is around maximum sustainable level
• CPI inflation remains below 2% mid-point, necessitating continued supportive monetary policy
• Level of NZD$ will support export earnings
• GDP growth is expected to pick up over 2019
The NZD is spiked temporarily higher in immediate response before falling.
The RBNZ will be holding a press conference at 10am.
The next OCR decision will not be held until 13th Feb 2019.
Below is link to the RBNZ press release:
Current indicative levels are:
NZD-USD 0.6765 /
NZD-AUD 0.9295 / 0.9320
NZD-EUR 0.5905 / 0.5930
NZD-GBP 0.5145 / 0.5170
NZD-JPY 76.70 / 76.95