Morgan Stanley on the RBNZ decision at 2100 GMT
The world is definitely looking up since the last RBNZ meeting. Dairy and oil prices are higher, tradable inflation is much higher than the RBNZ’s June forecast and near-term concerns about China have eased, reducing market volatility. Two of the scenarios laid out by the RBNZ for when they would cut have not really played out. House prices continue to rise but at a slower pace than late last year. Overall it becomes difficult to trade the NZD at the moment.
