FXStreet – The Reserve Bank of New Zealand is expected tonight, the feet still hold. The market analysts from the Australian Westpac, expect the cash rate unchanged at 1.75 percent. However, the Central Bank is likely to give a stronger Signal that the next step will be to the top.
The inflation rate has risen faster to the center of the Target range than initially expected, which was due to some temporary factors that should ease in the course of the year. The challenge for the RBNZ is now expected to be, to keep Inflation in the medium term on track.
The economy is growing steadily, but not so quickly that the RBNZ should step on the brake. At the same time, higher mortgage interest rates, spending already a considerable impact on the houses prices and consumption.
** FXStreet News Editorial, FXStreet**