The Reserve Bank's doing the equivalent of the 'dance of the seven veils' by holding out the prospect of a future interest rate cut to keep the market "tantalised", ASB economists believe. But there is a problem: "We are not good dancers," ASB chief economist Nick Tuffley says, in the bank's weekly economic newsletter. "We would prefer a simple two-step shuffle of OCR cuts in June and August. "It avoids tripping over errant veils. "And the sooner interest rates get lower the sooner the RBNZ shores up a weak inflation outlook," Tuffley says. The RBNZ "clearly" intends to cut the OCR again, in line with its March ... (full story)