New Zealand Dollar, Reserve Bank of New Zealand, Rate Hike, Inflation – Talking Points
- The Reserve Bank of New Zealand hikes its OCR by 25 basis points
- New Zealand Dollar at risks given lofty rate hike bets despite threats
- Persistent inflation threat on the radar for RBNZ policymakers
The Reserve Bank of New Zealand (RBNZ) kicked off a tightening cycle Wednesday after raising its official cash rate (OCR) by 25 basis points. That brings the OCR from 0.25% to 0.50% and marks only the second rate hike from a G10 central bank since the Covid pandemic began. The first was Norges Bank. The New Zealand Dollar ticked higher versus the US Dollar immediately following the news.
**Breaking News – Full Story to Come**
— Written by Thomas Westwater, Analyst for DailyFX.com
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