RBNZ holds but hints at future easing as outlook worsens
New Zealand dollar reaches four-month low as central bank hints at prolonged inflation battle
The Reserve Bank of New Zealand (RBNZ) kept its policy rate at 2.5% today (January 28), but governor Graeme Wheeler hinted at future cuts to counter undershooting inflation.
Annual CPI inflation, currently 0.4%, is expected to rise over 2016, but will take longer to reach the target range than previously expected, Wheeler said in a statement.
"Monetary policy will continue to be accommodative," he added, noting further easing "may be required over the coming year".
"The door to easing has
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