Assuming no more supply shocks an OCR of 5.5% could be the top. But it it will stay there for the rest of the year.
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RBNZ leading the highest OCR since 2008, having increased 500 basis points in eleven hikes since August 2021; the fastest and largest monetary policy tightening on record.....
I'm Gutted if only this latest rate rise was a week away ... have to convert a good chunk of AUD to NZD pay Mr IRD !!! ... just on todays spike in NZD will cost me $800 !!!
Still a way to go to get OCR to 8% …not that many years ago
yeah back when we purchased a house its now more that tripled in value...and even more in rebuild cost to replace .... now match that up to incomes .... I can't see how NZ consumers could continue to keep above water with such high household debt levels at say 8%
I guess he just wants to crush the wage - price spiral. Difficult if you work against a government which uses private company resources as ammunition to increase inflation by pushing the minimum wage up and up and up.
They say never fight the FED, but maybe this is a case of never fight a government hell-bound to increase inflation?
Thats why exactly previous 8% levels will feel like 15% now ...so not possible ....but more Mr Orr plays to the galleries and make fun of Govt ...more soon the rates will " NEED " to come down ....
Todays move is actually not bad for stocks ...as it brings the interest rate pivot led recovery much sooner ...
From NZX perspective ...let Mr Orr deliver another 50 bips next meeting and then by last qtr our market will be rejoicing in full bloom
https://www.marketwatch.com/investin...countrycode=bx
Big thumbs down from Bond markets ...OCR up, 10 year bond yield down ....it seems market does not care ...actual rates will not rise ...thats why RBNZ delivered 50 bips as otherwise actual rates wud have started declining ...which is too early as inflation still pretty high .
https://www.nzherald.co.nz/business/...EE2WZJ3RTCACI/
Reserve Bank hikes Official Cash Rate to 5.25 per cent
That wasn't very ORR-SOME - Adrian ;)
Fancy being known as the pr*ck who pushed Aotearoa into RECESSION
and untold financial suffering by many out there.. ?
You bought it on yourself .. Stupid stupid befuddled grandiose money shuffling twit
many might be left thinking ;)
More of Gobbo Robbo's "Help Ease the pain" hand outs must be due out next week
after this ? ;)