New Zealand's Disappointing GDP Triggers Rate-Cut Speculations

Reported about 2 hours ago

New Zealand's economy contracted by 0.9% in the second quarter, significantly worse than the anticipated 0.3% decrease, prompting expectations for aggressive interest rate cuts by the Reserve Bank. Despite earlier growth, economic activity remains muted, with rising unemployment and a decline in manufacturing and construction. Prime Minister Christopher Luxon faces increasing pressure as the government blames global instability for the downturn, while economists suggest a potential 50 basis-point cut at the upcoming RBNZ meeting.

Source: YAHOO

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