Reply To: Reserve Bank of New Zealand Raise Rates by 50bp to 4.75% to Highest Since January 2009

Helmholtz Watson

RBNZ Governor Orr press conference:

too early to determine impact of Cyclone Gabrielle
said prices for some goods are likely to spike in the weeks ahead
still forecasting a recession 9 to 12 months period
Demand needs to slow significantly
more savings will relieve inflationary pressures
increased deposit rates will promote savings
very little discussion of a 25bp rate hike, most focus was on 50bp