VIEW: Westpac note they now "expect the RBNZ...>

RBNZ: VIEW: Westpac note they now "expect the RBNZ will reduce the OCR to -0.5%

in April 2021 (previously November 2020). We expect that the RBNZ will expand

its Large Scale Asset Purchase (LSAP) programme to NZ$70bn at the June OCR

Review, and NZ$80bn at the August MPS. We forecast that the weekly pace of LSAP

bond purchases will average NZ$1.1bn until April 2021, slowing to NZ$0.8bn after

a negative OCR is introduced. We calculate that the LSAP will eventually total

NZ$100bn by June 2022. We are not forecasting foreign bond purchases, but if

there is another big negative economic shock this year then the RBNZ could use

that option."