Reserve Bank of New Zealand Governor Orr appearing before parliament's Finance and Expenditure Committee
Orr is addressing yesterday's release of the Bank's latest Monetary Policy Statement
- global economic outlook has continued to improve
- NZ labour market very resiient
- in the near term expects the inflation rate to be above the midpoint of its target range
- expects house price growth to slow dramatically in H2
- positive outlook driven by vaccine rollout, reduced health risks
- projections see normalising of monetary policy by this time next year
Orr hedges that 'normalising' comment with if things evolve as expected. Which is fair enough ... central banker types are prone to suffer from overconfidence in their forecasts, Orr doing a bit of sideways acknowledgement of this.
----
Previous posts on the RBNZ MPS for May 2021, ICYMI (read from the bottom up for chronology):
- RBNZ Gov Orr: Says inflation pressures expected to be temporary
- Reserve Bank of New Zealand Governor Orr press conference - live link
- RBNZ monetary policy meeting minutes
- NZD marked higher in the wake of the RBNZ monetary policy statement
- RBNZ leave policy unchanged, as expected
And, more:
- NZ banks bring forward call for RBNZ rate hike to May 2022
- NZD/USD holds higher post-RBNZ but buyers still dipping their toes
- The NZDUSD races higher after RBNZ and tests the swing highs from January
- New Zealand dollar tries to hold firm as USD strengthens elsewhere
