The Reserve Bank of New Zealand statement is due at 0200 GMT on Wednesday 17 August.
Earlier:
- Analysts are unanimous that the RBNZ will hike cash rate by 50bp next week
- RBNZ to take another step towards a pivot next week - BofA
Snippet via Westpac, more than just an RBNZ preview though:
- The next week or two look bullish for the NZD. The USD fell sharply in the wake of a less-strong US CPI inflation report, and that reaction should resonate for over the next two weeks.
- In addition, the RBNZ MPS next week should re-emphasise its hawkish resolve (a 50bp hike is consensus) which should be NZD-supportive.
- The month or two ahead remain a minefield for risk sentiment, though, with global central bank tightening, recession risks, and geopolitics (Russia, Taiwan) as backdrops. But by year-end, if sentiment stabilises, there is potential for the NZD to rebound towards 0.67. By then, the Fed story should be fully priced into the USD.
