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ANZ economists now expect the RBNZ to cut official interest rates in June followed by another drop in July
ANZ economists are now picking that the Reserve Bank will be forced to drop official interest rates as soon as next month - and follow up with a further cut a month later. The prediction, from ANZ chief economist Cameron Bagrie followed release of the ANZ's monthly inflation gauge, which showed that falls in the housing, miscellaneous goods, and recreation & culture groups contributed to a 0.2% fall in April. "We’ve seen enough across our four prongs (high NZD, dairy income squeeze, inevitability of a prudential response towards housing and continued low core inflation reads) to call the [Official Cash Rate] ... (full story)