NZD: Prices in the Monthly Inflation Gauge rose 0.1% in April - ANZ

Cameron Bagrie, Chief Economist at ANZ, notes that the prices in the NZ’s Monthly Inflation Gauge rose 0.1% in April, consistent with seasonal norms. Prices in the Gauge were up 0.9% 3m/3m, while annual inflation from the Gauge rose to 1.9%.

Key Quotes

“Price rises were largely confined to the housing group, with prices down 0.1% for the Underlying Ex-housing Gauge, and the 3-month increase from this measure down to 0.1%, the lowest increase so far this year.

While we can see signs of demand-pull inflation in the likes of construction and housing, the inflation picture remains dormant overall. In that environment the OCR looks headed lower still.”