- Analytics
- News and Tools
- Market News
- RBNZ to carry on with 50 bps hike in October to break inflation trend – Reuters poll
RBNZ to carry on with 50 bps hike in October to break inflation trend – Reuters poll
Reserve Bank of New Zealand (RBNZ) will deliver its fifth half-point interest rate hike on Wednesday and do the same in November in an attempt to stem the tide of rising inflation, the latest Reuters poll of economists predicted.
Key findings
All 24 economists in the Sept. 26-29 Reuters poll forecast the RBNZ would hike its official cash rate by 50 basis points to 3.50% at its Oct. 5 meeting.
Nearly all economists have brought forward rate hike expectations from last month's poll and a majority, 17 of 22, now expected the OCR to reach 4.00% or above by end-2022, 50 basis points higher than August's poll.
Current poll medians showed rates would remain unchanged at 4.00% until end-2023, not far from the RBNZ's projected terminal rate of 4.10%.
But a strong minority of nearly 40% of economists expected rates to be higher than the predicted peak rate.
Inflation was predicted to remain well above the RBNZ's target range of 1-3% until at least end-2023. It was expected to average 6.5% this year and then slip to 3.5% in 2023, higher than the 6.0% and 2.8% predicted in July.
Economists also cautioned the risks to their inflation projection were skewed more towards faster price growth.
Also read: NZD/USD Price Analysis: Bulls eye a run beyond the 'HotW' and eye 0.58 the figure
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
