NZIER: RBNZ should keep rates on hold this week

At the Reserve Bank of New Zealand (RBNZ) cash rate meeting this week, the New Zealand Institute of Economic Research (NZIER) 'Shadow Board' recommends that the central bank should leave the OCR on hold following a rate cut in the previous meeting.

Key Points:

Participants show where they think interest rates should be, not what they believe will happen.

Some data has suggested economic activity slowed over the first half of 2019.

there are mixed views on the efficacy of any further easing in monetary policy.

The Kiwi remains well bid around the 0.69 handle amid US-Sino trade optimism and higher commodities’ prices, as markets ignore below forecasts NZ credit card spending data for the month of May.