October 21, 2024 04:39 GMT
STIR: RBNZ Dated OIS Holding Post-CPI Softening
STIR
RBNZ-dated OIS pricing ended the day flat to 3bps softer, with the April 2025 contract leading the shift. Notably, pricing for 2025 meetings is now 4-12bps softer compared to last week’s levels before the release of Q3 CPI data.
- The market is currently pricing in 56bps of easing for the November meeting, with a cumulative 101bps expected by February and 159bps by July.
- This signals a growing expectation of significant easing by the RBNZ as inflationary pressures appear to be moderating.
Figure 1: RBNZ Dated OIS: Today Versus Last Week’s Pre-CPI Levels (%)
Source: MNI – Market News / Bloomberg
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