New Zealand dollar dip after RBNZ inflation expectations data

Reserve Bank of New Zealand data

New Zealand Q2 2 year inflation Inflation Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Read this Term expectations 2.97% (prior 3.3%)

• 1 year 4.28% (prior 5.11%)

Both the 1 and 2 year have dropped from Q1, and more

Pic is from the RBNZ survey results.

At the margin this lessens the need for further RBNZ rate hikes. The Bank next meets on May 24.

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The Reserve Bank of New Zealand (RBNZ) inflation expectations data

• a survey conducted quarterly by the RBNZ
• businesses, economists, and households are asked about their inflation expectations over different time horizons

The RBNZ uses the information gathered from this survey to monitor and assess inflation expectations, which are an important factor in setting monetary policy. If people expect higher inflation in the future, they may demand higher wages and prices, which can lead to actual inflation. Conversely, if people expect lower inflation, they may be more likely to accept lower wages and prices, which can help keep inflation in check.