New Zealand - RBNZ has more work to do

Today's decision by the Reserve Bank of New Zealand (RBNZ) to leave interest rates at 2.75% is just a pause in a loosening cycle that we believe will end with rates falling to 2.00%. And the news that the RBNZ is not happy with the recent strengthening in the New Zealand dollar lends some support to our view that the dollar could yet weaken to US$0.60 this year and US$0.55 next year.  

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