ANZ: New Zealand's Q2 GDP Data Will Not Hinder Rate Cuts

The data from Jin Sip on September 19th, ANZ Bank economist Henry Russell said that the second quarter of New Zealand's economy was not as weak as some people expected, but the overall momentum was still weak, and the New Zealand Reserve still plans to further cut interest rates. He said this would not change the monetary policy outlook. However, New Zealand's GDP shrank by 0.2% in the second quarter, better than the market's concern of a 0.4% shrinkage, which should dampen the idea of a 50 basis point rate cut by the New Zealand Reserve next time.