-
NZ Weekly Economic Commentary: Better data, but negative OCR still required
The evidence continues to suggest that the New Zealand economy is bouncing back from the COVID-19 lockdown more readily than was expected a couple of months ago. This doesn’t necessarily mean that policymakers can take their foot off the accelerator though. Low inflation is likely to remain a feature in the years to come, and monetary easing will need to continue beyond the guidance that the Reserve Bank has given to date. With the domestic lockdown restrictions effectively removed by early June, the June BusinessNZ Performance of Services Index rebounded to 54.1, compared to 37.5 in May. That brings the overall ... (full story)