All in all, the RBNZ continues to be willing...>

RBNZ: All in all, the RBNZ continues to be willing to do more, although is

seemingly constrained on the OCR side (for now), in terms of the preparedness of

the banking sector to deal with negative interest rates. The reference to the

Bank's previous guidelines re: rates on hold until Mar '21 continues to buy it

some time on that front, as it holds discussions with banks, although some of

the sell side have already pencilled in a move before then.

- As a result, the Bank had noted previously that the LSAP program was its

preferred method re: loosening policy at present, with the NZ$60bn size of the

program at the upper end of sell-side expectations. The inclusion of NZGBis will

be welcome, if a bit of a token gesture, and the Bank has noted that it can

include more assets (including foreign ones) in future.

- The Bank's motto is now a 'least regrets' monetary policy approach, with the

minutes of the Bank pointing to a need for "delivering stimulus sooner rather

than later, and thus minimising the risk that the stimulus delivered turns out

not to be enough." Governor Orr has said as much before.

- Focus now on the press conference scheduled for the top of the hour.