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Analysts at ANZ Bank New Zealand  Limited noted that the RBNZ is coming up.

Key Quotes:

“Despite the stronger starting point for GDP, CPI and yesterday’s unemployment rate, suggesting there is a little more economic momentum out there, we expect the RBNZ to reaffirm that the next move could be up or down.”

“Admittedly, this does present somewhat of a communications challenge, and the Bank’s press statement will be closely watched for any signal on how it’s interpreting the data flow.”

“On that front, we think it’ll stick to the script, making full use of the breathing room recent data outturns provide. But in the context of softening global growth, slipping commodity prices, and heightened risks to the outlook, waiting and watching remains a prudent approach.”

“The RBNZ is hardly in a position to declare victory given its focus is primarily on the medium-term. So we expect the RBNZ will leave cuts on the table. However, given the current tone of the economic data, we’re not sure the market is going to listen.”