CANADA TO PUBLISH FISCAL UPDATE ON DEC. 16

MNI BRIEF: Inflation Expectations Tick Higher - NY Fed

MNI BRIEF: China Passenger Car Sales Up In November Y/Y

MNI BRIEF: Mexico Inflation Down To 4.55% In November

MNI China Daily Summary: Monday, December 9

MNI BRIEF: China To Strengthen Policy Easing In 2025: Poliburo

MNI:US OCT WHOLESALE INV 0.2%; SALES -0.1%

EZ/UK Bond Supply Calendar: Austria, UK Auction on Tuesday

MNI BRIEF: China Nov CPI Slows To 5-Month Low Of 0.2% Y/Y

MNI EXCLUSIVE: EU-Mercosur Deal Close, But Likely Short-Lived - Officials

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

ASB: The Prospect Of Inflation Being Slow To Fall Below 3% Should Keep RBNZ Cautious

NEW ZEALAND

Ahead of today’s Q1 CPI print ASB write “our current add-up suggests annual inflation was steady at 7.2%, close to the highest since 1990. Surging food prices and rising prices from the housing group contribute more than half of the quarterly increase in the CPI, but generalised price rises should also be evident.”

  • “Annual rates of tradable CPI inflation are cooling, but non-tradable and core inflation are expected to come in close to (or at) multi-decade highs. Despite growing downside risks, the prospect of inflation being slow to fall below 3% should keep the RBNZ cautious, with its least regret still hinging on doing too little on OCR settings rather than too much.”
  • “We expect a further 25bp OCR hike in May and a 5.50% peak. High inflation will need to be conquered before OCR cuts are actively considered, and this looks to be a 2024 story.”
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
HomepageBulletMarketsFixed Income BulletsForeign Exchange Bullets
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
HomepageBulletMarketsFixed Income BulletsForeign Exchange Bullets

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.