Darren Gibbs: Westpac Senior Economist says that sticky inflation is to blame for an OCR cut not happening until next year
The Mike Hosking Breakfast · Newstalk ZB
Audio is streamed directly from the publisher (pdst.fm) as published in their RSS feed. Play Podcasts does not host this file. Rights-holders can request removal through the copyright & takedown page.
Show Notes
High inflation in certain parts of the economy is dashing hopes of a cut in the OCR.
Reserve Bank Chief Economist Paul Conway says that despite overall inflation being at 4.7%, non-tradable inflation is still high at 5.9%.
Westpac Senior Economist Darren Gibbs told Mike Hosking that they expected an OCR cut to occur in February of next year, and that didn’t change after the announcement.
He said that they think due to some elements of domestic inflation being quite sticky, it will take longer for inflation to decline than other economists predict.
LISTEN ABOVE
See omnystudio.com/listener for privacy information.