New Zealand inflation data is expected to remain high, above target. And so is the Reserve Bank of New Zealand cash rate.
Central banks don’t have many policy tools besides rates, so that’s what they’ll use (looking at you, FOMC). I have seen many arguments on the Internet saying that high inflation is caused by things that central banks cannot control, such as supply chain disruption, high oil prices, and so on, and this is what the central bank does not want. hike/will cut. What they don’t realize is that central banks understand this perfectly (they’re not the most efficient tools in the shed, but they’re not dummies either), but they understand that higher rates will sap demand from the economy and this will lead to higher interest rates. , at the margin, work to bring down inflation. Yeah, it might take a while, but unless they’re turkeys (or in Turkey…remember that episode?), that’s what they’ll do.
This snapshot of the ForexLive economic data calendar, access it here.
Times in the leftmost column are GMT.
The numbers in the rightmost column are the “previous” result (previous month/quarter as applicable). The number in the column next to it, where there is a number, is the expected consensus median.
cnbctv18-forexlive
