Skip to main content

5% peak in OCR will worsen housing downturn

This publication has been resent due to an error with the previous email.

The continued strength in inflation will encourage the Reserve Bank of New Zealand to hike the overnight cash rate by 75bp in November and to 5.0% by mid-2023. And with the financial markets sharply repricing the peak in the cash rate, a further surge in mortgage rates will deepen the housing downturn.

Drop-In: We’ll be discussing Australia’s monetary policy outlook shortly after the Q3 CPI release on Wednesday, 26th October. Register here to join the online briefing.

Become a client to read more

This is premium content that requires an active Capital Economics subscription to view.

Already have an account?

You may already have access to this premium content as part of a paid subscription.

Sign in to read the content in full or get details of how you can access it

Register for free

Sign up for a free account to gain:

  • Unlock additional content
  • Register for Capital Economics events
  • Receive email updates and economist-curated newsletters
  • Request a free trial of our services

Get access