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VIEW: Westpac: OCR Now Expected To Peak At 5%.

RBNZ

Westpac now “expect the Official Cash Rate to reach a peak of 5.00% for this cycle (previously 4.50%).”

  • “We expect a 75 basis point hike to 4.25% at the upcoming November Monetary Policy Statement, a step up from the 50 basis point increases in the last few reviews.”
  • “Inflation is continuing to run red-hot across the economy, and core inflation is yet to show signs of easing despite the sharp rise in interest rates over the past year.”
  • “We are also seeing ongoing firmness in domestic economic conditions, including a drum tight labour market and resilience in household demand.”
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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