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VIEW: On Friday TD pushed back its call for....>

RBNZ
RBNZ: VIEW: On Friday TD pushed back its call for the first RBNZ hike in the
cycle to November 2019 from May 2019.
- TD noted that "on August 9, the RBNZ surprised the markets with the most
dovish tone in years. After a short reconnaissance to Wellington, we better
understand the Bank's concerns about slowing growth and inability to lift
inflation back to target. In a Statement that surprised even the most dovish
analysts, the Bank needs to see a pickup in growth and inflation to prevent a
cut, not trigger a rate hike as previously thought. The risk of an OCR cut has
shifted from near-zero to around 30%. As we remain more constructive about the
outlook for New Zealand, we need to see substantial growth and/or inflation
disappointment to push the first hike into 2020."
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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