A quick preview of the Reserve Bank of New Zealand meeting this week (April 30) from BNZ and Westpac.
The focus is on what was said by RBNZ assistant Governor McDermott last week
BNZ:
- "The more we delved into the speech, the more it offered up some soft touches, at the edges
- These suggested that if there was a bias for the OCR between now and the end of the year, it is more likely down than up."
(I'll have more from BNZ on the meeting as we approach Thursday's meeting)
Westpac:
- Says there is a 40% chance of a cash rate cut this year
- McDermott's speech on inflation indicates the comments from this week's meeting will be more dovish than in March
- "The cat is already out of the bag. Next week's OCR review can only serve to affirm this change of stance"
