RBNZ MPS Preview: Down to the wire – Westpac

Dominick Stephens, Chief Economist at Westpac, suggests that after running through their analysis, they have come to the conclusion that the RBNZ is slightly more likely to keep the OCR on hold than to cut in June.

Key Quotes

“On balance, we now consider “on hold” to be the more likely OCR decision next week. But the June MPS decision remains a very close call. The odds of a cut are higher than market pricing suggests.

Our forecast is now for the final OCR cut to occur in August. We still believe the OCR low-point for this year will be 2.0%.”