RBNZ chief economist says Fed, New Zealand dollar, could bring on RBNZ rate cuts sooner ...Middle East

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Reserve Bank of New Zealand chief economist Conway spoke on a webinar hosted by an asset management firm on Wedneday. Earlier headlines are here:RBNZ Chief Economist says declines in core inflation are encouragingMore now, info via Bloomberg (gated). Conway argues that appreciation of the New Zealand dollar would alter inflation dynamics:“If the Fed, for example, did start to cut toward the end of this year and we didn’t” then “that would show up first and foremost in the exchange rate,” “The exchange rate would start to appreciate, which would bring down inflationary pressures. So then you have to think about what are the flow-on effects of that inflation, and would that mean that we would

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RBNZ chief economist says Fed, New Zealand dollar, could bring on RBNZ rate cuts sooner ...Middle East

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