Business & Finance
New Zealand Set to Raise Key Rate, Decision Less of a Slam Dunk
Key Points
New Zealand Set to Raise Key Rate, Decision Less of a Slam Dunk New Zealand’s central bank is poised to raise its key interest rate this week, most economists and traders reckon, beginning a gradual unwinding of stimulus as it aims to head off emerging inflationary pressures. Sixteen of 22 economists surveyed by Bloomberg expect the Reserve Bank’s Monetary Policy Committee will lift the Official Cash Rate by 25 basis points to 2.5%, while the other six see no change. Money markets are...
New Zealand Set to Raise Key Rate, Decision Less of a Slam Dunk
New Zealand’s central bank is poised to raise its key interest rate this week, most economists and traders reckon, beginning a gradual unwinding of stimulus as it aims to head off emerging inflationary pressures.
Sixteen of 22 economists surveyed by Bloomberg expect the Reserve Bank’s Monetary Policy Committee will lift the Official Cash Rate by 25 basis points to 2.5%, while the other six see no change. Money markets are similarly pricing about a 70% chance of a hike at 2 p.m. on Wednesday in Wellington.