RBNZ keeps OCR unchanged at 2%: further easing will be required

The RBNZ leave rates unchanged at 2.00% as widely expected and highlighted in their statement that a decline in the New Zealand Dollar is needed and adds that further easing will be required.

Key headlines (via Reuters):

• Monetary policy to remain accomodative
• A decline in the NZD is needed
• Further easing will be required
• Weak global growth and low rates putting upward pressure on nz$
• Says high nz$ makes it difficult to reach inflation target
• Further declines in inflation expectations still a risk
• Domestic growth supported by strong migration, tourism, construction
• Strong immigration is limiting wages pressure
• A decline in the exchange rate is needed
• Watching data closely
• Volatility in global markets has increased
• House price inflation remains excessive
• Outlook for global growth, commodity prices remains uncertain
• Annual cpi inflation expected to weaken in sept quarter
• Long term inflation expectations well anchored at 2 pct
• Outlook for dairy season remains very uncertain