Australia & New Zealand Economics Update No Christmas gift from the RBA, but rates to fall next year Even though the Reserve Bank of Australia has now left interest rates on hold at 2.0% for seven meetings and appears to be going cold on the idea of further cuts, we still think that a weakening in... 1st December 2015 · 1 min read
Australia & New Zealand Economics Update New Zealand - Rebound in activity will be short-lived Although GDP growth probably rebounded in the third quarter, New Zealand’s economy isn’t in the clear just yet as the full impact of the collapse in the dairy price is still working its way through... 19th November 2015 · 1 min read
Australia & New Zealand Economics Update Low inflation will soon prompt RBA to cut again Although the Reserve Bank of Australia (RBA) once again decided to leave interest rates on hold at 2.0%, the new line in the statement that "the outlook for inflation may afford scope for further... 3rd November 2015 · 1 min read
Australia & New Zealand Economics Update New Zealand - RBNZ has more work to do Today's decision by the Reserve Bank of New Zealand (RBNZ) to leave interest rates at 2.75% is just a pause in a loosening cycle that we believe will end with rates falling to 2.00%. And the news that... 29th October 2015 · 1 min read
Australia & New Zealand Economics Update Rate cuts will come back onto the RBA’s agenda before long By leaving interest rates on hold at 2.0% for the fifth month in a row today, the Reserve Bank of Australia (RBA) demonstrated that the recent falls in equity prices have not increased its appetite... 6th October 2015 · 1 min read
Australia & New Zealand Economics Update New Zealand - Another step on the way down to rates of 2.0% The most important part of today’s policy announcement by the Reserve Bank of New Zealand is not the third consecutive 0.25% cut in interest rates, to 2.75%, but the Bank’s growing acceptance that a... 10th September 2015 · 1 min read
Australia & New Zealand Economics Update RBA may yet have to change tack on rates While the Reserve Bank of Australia’s (RBA) decision to leave interest rates on hold at 2.0% for the fourth meeting in row suggests that the chances of further rate cuts have faded further, we still... 1st September 2015 · 1 min read
Australia & New Zealand Economics Update Equity price falls don’t materially alter economic outlook While we remain more concerned than most about the Australian economy, we don’t think that the recent sharp falls in equity prices will filter through into much weaker investment or consumption. 24th August 2015 · 1 min read
Australia & New Zealand Economics Update Chances of RBA rate cuts fading, but not disappearing The Reserve Bank of Australia’s decision to leave interest rates on hold at 2.0% for a third consecutive month appears to diminish the chances that rates will eventually fall to 1.5% as we have been... 4th August 2015 · 1 min read
Australia & New Zealand Economics Update New Zealand - Heading towards 2% The 0.25% reduction in interest rates, to 3.00% from 3.25%, announced by the Reserve Bank of New Zealand today is the second in a series of cuts that we think could take interest rates all the way... 23rd July 2015 · 1 min read
Australia & New Zealand Economics Update New Zealand - Slowdown becoming more widespread While much of the weakness in GDP growth in New Zealand in Q1 was due to the temporary effect of the drought, more recent data suggest that the slowdown is spreading to other sectors. The risks to our... 14th July 2015 · 1 min read
Australia & New Zealand Economics Update Lower dollar won't prevent further RBA rate cuts Even though the Reserve Bank of Australia (RBA) decided to leave interest rates on hold at 2.0% for the second month in a row today and did not provide a clear hint that more cuts lie ahead, we still... 7th July 2015 · 1 min read
Australia & New Zealand Economics Update New Zealand - Rates may eventually fall below 3% While today's interest rate cut by the Reserve Bank of New Zealand (RBNZ), to 3.25% from 3.50%, came a bit earlier than we expected, towards the start of the year we were one of the few analysts... 11th June 2015 · 1 min read
Australia & New Zealand Economics Update Weakening outlook will prompt RBA to act again We suspect that today’s decision by the Reserve Bank of Australia (RBA) to leave interest rates on hold at 2.0% is nothing more than a pause in the loosening cycle that could yet result in rates... 2nd June 2015 · 1 min read
Australia & New Zealand Economics Update New Zealand - New mortgage restrictions raise rate cut chances The Reserve Bank of New Zealand’s (RBNZ) plan to tighten its macro-prudential polices in order to tame house price inflation in Auckland could be another sign that it is preparing the ground for a... 13th May 2015 · 1 min read
Australia & New Zealand Economics Update 2% won’t be the floor The cut in interest rates to a new record low of 2.00%, from 2.25%, announced by the Reserve Bank of Australia (RBA) today is unlikely to be the last in this cycle. Our forecast that both GDP growth... 5th May 2015 · 1 min read
