The Reserve Bank of New Zealand Monetary Policy Statement is due at 0200 GMT on Wednesday 26 May 2021
- RBNZ Governor Orr will conduct his press conference following on at 0300 GMT.
Earlier previews:
- RBNZ monetary policy meeting announcement due today, 26 May 2021 - preview
- RBNZ monetary policy meeting 26 May - preview
- RBNZ monetary policy meeting 26 May 2021 - here is sort of a preview
- RBNZ monetary policy meeting 26 May 2021 - Goldman Sachs preview
- RBNZ monetary policy meeting preview - quick snippet
Comments via ASB:
- we expect all the key policy levers maintained - with the OCR on hold, Large Scale Asset Purchase parameters left untouched and Funding for Lending Programme unchanged.
- substantial upward revisions in many of the Bank's February forecasts will be on the cards
- we suspect its commentary will maintain the dovish line
- As with previous post-COVID statements, the emphasise will be on the RBNZ's willingness to keep support up for as long as is necessary
- We continue to expect the OCR to remain on hold until the latter half of 2022
And:
- We expect the RBNZ to acknowledge the improved clip of recent data
- carry on with its cautious 'wait and see' mantra
- Several downside risks remain, a sustained uptick in inflation far from guaranteed and there is currently a big question mark over the housing outlook
