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Muted Start, RBNZ Due This Week

BONDS

NZGBs have opened dealing little changed across the major benchmarks in a muted start to this week's dealing. Participants are digesting Friday's modest cheaping in US Tsys in a narrow post-Thanksgiving session.

  • 10 Year NZ US Swaps are well within recent ranges and sit at +52bps this morning.
  • RBNZ dated OIS priced no change in the OCR at Wednesday's monetary policy meeting, there are ~35bps of cuts priced by Oct 24.
  • The NZIER noted this morning that the shadow board recommends no change to the OCR in November (BBG).
  • After the aforementioned RBNZ meeting on Wednesday we have Oct Building Permits and Nov ANZ Business Survey on Thursday and Nov ANZ Consumer Confidence on Friday.

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