Tag Archives: OCR

The Reserve Bank has removed the prospect of future interest rate hikes from its forecast horizon as a strong kiwi dollar and cheap oil hold down inflation, and the central bank ponders whether to lower its assessment of where “neutral” interest rates should be. The kiwi dollar gained after the statement. Governor Graeme Wheeler kept the official cash rate at 3.5 percent, …

The New Zealand dollar fell before the release of US consumer prices for June, amid speculation inflation in the world’s biggest economy may have accelerated enough to bring forward the timing of interest rate hikes. The kiwi traded at 86.74 US cents at 5pm in Wellington, from 86.89 cents at the start of the day and from 87.12 cents yesterday. The trade-weighted index declined to …

Reserve Bank governor Graeme Wheeler lifted the official cash rate a quarter-point to 2.75 percent in the first move of a tightening cycle, and signalled potential for a steeper track for future hikes as he tries to prevent inflation accelerating. “While headline inflation has been moderate, inflationary pressures are increasing and are expected to continue doing so over the next …

Reserve Bank governor Graeme Wheeler kept the official cash rate at a record-low 2.5 percent, while lifting the projected path for interest rates and saying he’s ready to start hiking “as needed” to keep inflation under control. The kiwi gained on the statement. “Annual CPI inflation increased to 1.4 percent in the September quarter and inflation pressures are projected to …

Reserve Bank governor Graeme Wheeler is expected to leave the official cash rate unchanged in his final review of 2013, while giving financial markets little reason to change their view that the tightening cycle will start in the first quarter. By March the OCR is expected to be at 2.75 percent, rising to 3 percent in the June quarter and …

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2.5 percent, talking down the threat of soft inflation in recent months and reiterating his view the New Zealand dollar is “overvalued”. The kiwi jumped after the statement. “The high New Zealand dollar continues to be a significant headwind for the tradables sector, restricting export earnings and encouraging demand …

The New Zealand dollar dropped by about 1 US cent and swap rates fell after the Reserve Bank warned a surging kiwi for no good reason may force a rate cut, and said it doesn’t plan to budge on the official cash rate this year. The kiwi dollar sank as low as 81.63 US cents from 82.60 cents immediately before …

Reserve Bank governor Graeme Wheeler held the official cash rate at 2.5 percent, as expected, saying the benchmark rate is expected to move this year amid an uneven economic recovery. The kiwi dollar dropped on the news “The overvalued New Zealand dollar is undermining profitability in export and import competing industries, and worsening drought conditions are creating difficulty in much …

Reserve Bank governor Graeme Wheeler singled out rising house prices as a threat to the country’s financial stability and kept the official cash rate at 2.5 percent, as expected, saying the overvalued New Zealand dollar was holding consumer prices below the bank’s target band. “The bank does not want to see financial stability or inflation risks accentuated by housing demand …

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2.5 percent, as expected, saying monetary policy is still focused on future inflation and that he’s looking for any sign of more softening in prices. “The bank is closely monitoring indicators for any sign of further moderation and is mindful of recent downside surprises to employment and inflation outturns,” …