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Q2 CPI Stronger Than Expected But Close to RBNZ Projections

NEW ZEALAND

The Q2 CPI q/q printed at 1.1%, versus the 0.9% consensus forecast. This was in line with the RBNZ projections though. The y/y printed at 6.0%, also a touch above market expectations (5.9%), but more closer to RBNZ estimates (6.1%). NZD/USD has spiked above 0.6300, last around 0.6310/15, we were closer to 0.6290 prior to the data. NZ yields are higher, +2-3bps across the curve at this stage. More details to follow.

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