Another spike in inflation won't stop the Reserve Bank from cutting the Official Cash Rate again next month.

Stats NZ is providing its latest quarterly CPI update at 10.45.

Most economists expect it to hit the Reserve Bank's upper limit of three-percent, and some think it will surpass that limit.

But Westpac Chief Economist Kelly Eckhold told Mike Hosking the Reserve Bank still thinks the economy's weak enough to start pushing inflation down.

He says even the Reserve Bank probably won't be too bothered, even if inflation surpasses the three-percent limit.

LISTEN ABOVE

Another spike in inflation won't stop the Reserve Bank from cutting the Official Cash Rate again next month.
Stats NZ is providing its latest quarterly CPI update at 10.45.
Most economists expect it to hit the Reserve Bank's upper limit of three-percent, and some think it will surpass that limit.
But Westpac Chief Economist Kelly Eckhold told Mike Hosking the Reserve Bank still thinks the economy's weak enough to start pushing inflation down.
He says even the Reserve Bank probably won't be too bothered, even if inflation surpasses the three-percent limit.
LISTEN ABOVE

Best of Business is the home of all things business at Newstalk ZB, from morning market updates right through to incisive interviews with New Zealand’s top business leaders and decision makers. 

Whether you’re a small business owner or interested in what’s going on in the Big End of Town, this podcast encompasses the sharpest voices and minds in the world of business.

Best of Business is the home of all things business at Newstalk ZB, from morning market updates right through to incisive interviews with New Zealand’s top business leaders and decision makers. Whether you’re a small business owner or interested in what’s going on in the Big End of Town, this podcast encompasses the sharpest voices and minds in the world of business.

Best of Business is the home of all things business at Newstalk ZB, from morning market updates right through to incisive interviews with New Zealand’s top business leaders and decision makers.

Best of Business

Kelly Eckhold: Westpac Chief Economist challenges the Reserve Bank's cuts to the Official Cash Rate

https://api.omny.fm/orgs/7784f840-c291-422a-924b-ad9000bbad71/clips/a941519f-1b12-4497-8213-b37b01316287/transcript