ANZ: Expect the Reserve Bank of New Zealand to cut interest rates by 50 basis points next week

Golden Finance reported that ANZ Bank said that we expect the Reserve Bank of New Zealand to cut interest rates by 50 basis points to 4.25% next week. This will be consistent with the Reserve Bank of New Zealand's October information, economists' forecasts and market pricing. The data since the October monetary policy review has been mixed, but it looks like no data is likely to disrupt plans. After this meeting, the data will make the decision, but with the official cash rate (OCR) closer to neutral, our base case expectation is that the Reserve Bank of New Zealand will slow the pace of easing to a standard 25 basis point rate cut, with interest rates reaching a low of 3.5% in May next year.