20 Nov 2013
Flash: RBNZ first to hike rates? – Rabobank
FXstreet.com (London) - Jane Foley, Senior Currency Strategist at Rabobank said the RBNZ looks set to be the first G10 central bank to hike rates this cycle.
Key Quotes:
“The RBNZ signalled back in September that it could be hiking interest rates as soon as April next year in order to contain inflationary pressure. Back then it noted for the first time that house price inflation was in danger of seeping into the broader CPI inflation index”.
“It is possible that the timing of the move will be delayed due to exchange rate strength or perhaps by more success of macro-prudential measures in keeping a lid of house prices and household debt”.
Key Quotes:
“The RBNZ signalled back in September that it could be hiking interest rates as soon as April next year in order to contain inflationary pressure. Back then it noted for the first time that house price inflation was in danger of seeping into the broader CPI inflation index”.
“It is possible that the timing of the move will be delayed due to exchange rate strength or perhaps by more success of macro-prudential measures in keeping a lid of house prices and household debt”.