The Reserve Bank of New Zealand is expected to reaffirm its no-cut stance, cementing yield-related strength for a while yet. |
The risk profile for inflation is just too significant to ignore. |
The risk profile for inflation is just too significant to ignore. Ensuring inflation expectations remain anchored will be the Reserve Bank's primary aim, and this will require the talk to remain tough. |
There in something in today's release for everyone. |
There's not a lot of investment opportunities out there, so yield is still the default play for the market. But when the New Zealand dollar turns, it will turn aggressively, and if we don't get yield demand it will fall by a country mile. |
We are viewing the result as negative for bonds and the New Zealand dollar. The lack of a decisive result adds an additional layer of political uncertainty. |
When it goes, it is going to go a country mile pretty quickly. |
While the economy is down, it is not out for the count. Employment and profit expectations have risen and export intentions are at a four-year high. |