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9 Sep 2015
RBNZ will cut but that's probably priced in - BTMU
FXStreet (Guatemala) - Derek Halpenny, analyst at the Bank of Tokyo-Mitsubishi UFJ, Ltd noted the RBNZ tonight and dovish tone around the event.
Key Quotes:
"The consensus for the RBNZ tonight is for a cut. The RBNZ’s estimate for real GDP and inflation are perhaps too high and lower forecasts are likely. "
"NZD/USD is about 3.5% lower since the start of August so an expectation of easing in response to the upturn in financial market turmoil is probably in the price and a strong signal to ease again would be required to push the NZD/USD much lower still."
Key Quotes:
"The consensus for the RBNZ tonight is for a cut. The RBNZ’s estimate for real GDP and inflation are perhaps too high and lower forecasts are likely. "
"NZD/USD is about 3.5% lower since the start of August so an expectation of easing in response to the upturn in financial market turmoil is probably in the price and a strong signal to ease again would be required to push the NZD/USD much lower still."