RBNZ have published their inflation data.
- The Reserve Bank of New Zealand Sector factor model. Says the Bank of its own model:
We created the sectoral factor model. It estimates the common component of inflation in the CPI basket, the tradable basket, and the non-tradable basket, based upon separate factors for the tradable and non-tradable sectors. The data excludes GST.
Earlier today we had the official CPI data from NZ:
- New Zealand Q4 inflation 1.4% q/q (expected 1.3%) 7.2% y/y (expected 7.1%)
- NZ Q4 CPI higher than expected. Later today the RBNZ releases its own CPI data, stay tuned
Analyst response has been to dial back hawkishness from the RBNZ:
- ANZ New Zealand revise forecasts for RBNZ rate hikes ahead - lower terminal rate seen
- New Zealand analysts says "The world war on inflation is being won." RBNZ peak rate lower.
I do wonder if doing so is a little premature.
