RBNZ Hikes Again, But Investors Bet on December Rate Rise

New Zealand's central bank, the Reserve Bank (RBNZ), has raised interest rates for the second consecutive meeting. In a statement, Governor Anna Breman indicated that another increase is likely, but policymakers want to assess the impact of previous rate hikes before making further decisions.

Assistant Governor Karen Silk believes the RBNZ is more likely to wait until December to hike again. This assessment comes after investors downplayed the chances of a rate increase at the next meeting in October and instead aggressively priced an increase for the December meeting.