VIEW: ANZ have changed their OCR call,.........>

RBNZ: VIEW: ANZ have changed their OCR call, "removing the cut we had pencilled

in for May. Our central forecast is now for a flat OCR track. Since the November

MPS, forward-looking activity indicators have improved, the Government has

announced more spending is in the pipeline, the housing market has strengthened,

and inflation looks like it is sitting close to target. It's true that revisions

mean that GDP decelerated more sharply over 2019 than previously thought. But

momentum appears to be stabilising, and it now looks more likely that the

economy will be able to generate growth around trend over the medium term,

despite headwinds. The RBNZ has scope to be patient and await further signals on

the economic direction. Downside risks have not gone away - we see the market's

pricing of a decent chance of further cuts as entirely appropriate - but a

near-term cut would require an abrupt change of circumstances."