Goldman Sachs Group Inc. expects inflation in Australia and New Zealand to ease to “a bit below” 3% by late-2024, within the targets of both central banks and paving the way for reductions in interest rates. “An easing in inflation of this magnitude would normally require a sharp deterioration in the labor market,” economists led by Andrew Boak wrote in Goldman’s 2024 Outlook report published Tuesday. “We continue to expect that Australia and New Zealand will achieve a soft landing in 2024.” The cooling in prices will be driven by global goods inflation, softening labor demand and wage pressures that will help ease ... (full story)