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MNI RBNZ Preview - April 2023: Another 25bp, Tightening Bias To Stay

RBNZ
  • A step down to 25bp from February’s 50bp is widely expected at the April 5 meeting bringing the OCR to 5%, the highest since 2008. A pause and 50bp hike are also likely to be discussed.
  • Given that another 25bp rise is expected, the guidance part of the accompanying statement will be particularly important to the outlook for monetary policy. It will probably acknowledge the very weak Q4 GDP data while reiterating that inflation remains too high and the labour market too tight. The RBNZ is likely to keep its options open while maintaining its tightening bias.
  • Click to view full preview: MNI RBNZ Preview - April 2023

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