Views Article – Sharenet Wealth

Australasia, Forex

RBNZ Governor reiterates negative interest rates a possibility

WELLINGTON, Aug 8 (Reuters) – New Zealand’s central bank governor said on Thursday that it was easily within the margin of errors of the bank’s forecasts that negative interest rates may be needed to stimulate the economy.

Adrian Orr also said the threat of U.S.-China trade tensions has lingered for too long, creating global economic uncertainty.

New Zealand’s central bank stunned markets on Wednesday by cutting interest rates a steep 50 basis points, and even flagged the risk of going nuclear by taking rates below zero, a radical shift that drove its currency to three-and-a-half year lows. (Reporting by Charlotte Greenfield, writing by Praveen Menon Editing by Sonya Hepinstall)

© 2019 Thomson Reuters. All rights reserved. Reuters content is the intellectual property of Thomson Reuters or its third party content providers. Any copying, republication or redistribution of Reuters content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters. Thomson Reuters shall not be liable for any errors or delays in content, or for any actions taken in reliance thereon. "Reuters" and the Reuters Logo are trademarks of Thomson Reuters and its affiliated companies.
Array ( )