RBNZ minutes indicate a split decision on rate hike

Highlights from the minutes to the Reserve Bank of New Zealand meeting:

• Raising the OCR to 5.50% is consistent with the projections
• Reached a consensus that interest rates will need to remain at a restrictive level for the foreseeable future
• By a majority of five votes to two, the committee agreed to increase the ocr by 25 basis points
• Committee was comfortable with the projected forward path for the ocr.
• Committee discussed the suitability of keeping the ocr on hold at 5.25% or increasing it to 5.50%
• Committee agreed that neither decision would cause unnecessary instability in output, interest rates, or the exchange rate

Earlier:

• RBNZ raise its cash rate by 25bp
• NZD marked significantly lower following the RBNZ 25bp rate hike

• RBNZ says that Businesses reporting lack of demand the main constraint on activity

Next up is RBNZ Governor Orr's press conference at 3pm New Zealand time, which is 0300 GMT and 11pm US Eastern time.