New Zealand cuts rates

Source: Dukascopy Bank SA
New Zealand's inflation is near the top of the 1–3% target but is expected to ease to 2% by mid-2026 due to spare economic capacity. Economic activity remains weak through mid-2025, with slow investment and flat house prices, though household spending is picking up. Growth among NZ's trading partners is resilient but may slow in 2026.



The Reserve Bank cut the OCR by 50 basis points to 2.5% and remains open to further cuts to keep inflation near target amid ongoing risks.
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