RBNZ’s own preferred inflation model 3.1% y/y for Q4 2024 (prior 3.4%)

Earlier today we had the official CPI data from NZ:

• New Zealand Q4 2024 CPI slightly higher than expected

From the Reserve Bank of New Zealand now, its model falling well below Q3 and nearly to the top of its 3% band:

The CPI result earlier supported expectations for another 50bp rate cut from the RBNZ (the next meeting is February 19). This lower than Q3 result will also be supportive of that expectation.

NZD/USD is lower on the session. Its around 0.5653 as I update.

This article was written by Eamonn Sheridan at www.forexlive.com.