Posts on Orr's remarks from yesterday are here:
- Orr says current challenge is getting a 'soft landing' over the next few years
- Orr flags further rate hikes ahead
This now from BNZ, in brief:
- Orr acknowledged that overtightening could tip the economy into a recession.
- Orr repeated the message from the MPR that last week’s 50bps OCR hike was about bringing forward tightening, not necessarily doing more in total.
- Compared to still very elevated market pricing – which indicates the RBNZ will take the OCR to almost 4% next year – Orr’s messaging was arguably more balanced around how much tightening might ultimately be needed.
NZD/USD update:
