New Zealand inflation expectations continue to fall in Q1- c.bank survey

SYDNEY, Feb 13 (Reuters) – New Zealand’s inflation expectations fell to more than two-year lows in the first quarter, indicating interest rate hikes were able to contain high prices, a Reserve Bank of New Zealand (RBNZ) survey showed on Tuesday.

Two-year inflation expectations, seen as the timeframe when RBNZ policy action will filter through to prices, fell to 2.5% from 2.76% in the December quarter, the RBNZ’s quarterly survey showed.

The survey data from 38 business leaders and professional forecasters saw annual price increases averaging 3.22% over the year ahead, the lowest since September 2021, down from 3.6% previously. (Reporting by Renju Jose in Sydney; Editing by Christian Schmollinger)

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