VIEW: JPMorgan write "we are adding a..........>

RBNZ: VIEW: JPMorgan write "we are adding a further 25bp rate cut in August, to

our existing forecast for November. This would take the OCR down to 1%. Last

week's Budget confirmed that fiscal policy is offering no material support that

would lift growth back above potential, so it is unclear how the RBNZ's growth

targets will be hit by meaningful easing, particularly if the global interest

rate benchmark is on the move. On timing, the June meeting still feels some

distance away; far enough that growth fears could be significant by the time we

get there. Nevertheless, given the message delivered in May, we think back to

back cuts might be a bridge too far for the new committee in the absence of

tangible economic stress. August offers the security blanket of a forecast

revision process, which explicitly commits to numbers the transmission of global

drags to domestic growth."