The RBNZ have held the Official Cash Rate (OCR) constant at 1.00%, having cut by 0.50% at the last OCR meeting in August.
The key points in the RBNZ statement are:
• The committee agreed new information did not warrant significant change to policy outlook
• Employment is around maximum sustainable level, inflation within target.
• NZ interest rates can be expected to be lower for longer
• Low interest rates, govt spending to support demand in coming years
• Business confidence remains low in NZ, partly reflecting policy uncertainty and low profitability in some
sectors
• Global trade and other geopolitical tensions remain elevated and continue to subdue the global growth outlook.
• Reduction in the OCR this year has eased the NZD$
The NZD is higher in immediate response.
The next OCR decision, along with a full Monetary Policy Statement, will be held on the 13th November.
Below is link to the RBNZ press release:
Current indicative levels are:
NZD-USD 0.6325 / 0.6350
NZD-AUD 0.9320 / 0.9345
NZD-EUR 0.5745 / 0.5770
NZD-GBP 0.5070 / 0.5295
NZD-JPY 67.85 / 68.10
ends