The slowdown in Christchurch's rebuild, continued weakness in dairy prices, and soft consumer and business confidence put an end to New Zealand's 'rock-star economy' status earlier this year, prompting a renewed policy response from the Reserve Bank of New Zealand (RBNZ). On Thursday, September 10, the central bank is expected to cut the Official Cash Rate (OCR) from 3.0% to 2.75%, the bank's third 25 basis-point cut since June, with more likely to follow. The market is currently pricing in one more rate cut after Thursday, however, many economists see downside risks to this, particularly as inflation remains far ... (full story)