RBNZ got some bang for its buck - ANZ

Research Team at ANZ, notes that the RBNZ got some bang for its buck, with the NZD (TWI) down more than a big figure on news it will provide an economic update next Thursday.

Key Quotes

“Something the market has taken to mean grumblings with market pricing and an attempt to rein things in following the reaction to the Deputy Governor’s speech two weeks ago. Now that it has the market’s attention, the question is where to from here? The economy certainly doesn’t need more stimuli. Data is strong. The problem remains low inflation, compounded by the high NZD. Unless it is planning to take the OCR well below 2%, the NZD will remain high. It means more ‘Fun’ for homeowners.”