NZ CPI arrives as expected, 1.5% YoY

Consumer Price Index for New Zealand arrived as follows:

NZ CPI

NZ q2 consumer price index non-tradables 0.0 pct vs pvs qtr.
Consumer price index -0.5 pct vs pvs qtr (reuters poll -0.5 pct).
Consumer price index non-tradables +3.1 pct vs yr ago.
Consumer price index +1.5 pct vs year ago (reuters poll +1.5 pct).

The print was already priced into the bird. 

"The RBNZ will be more focused on the longer-term outlook for inflation, but that isn’t looking great either, especially with the exchange rate a headwind,"

analysts at ANZ Bank argued.

Kiwi update

Muted on the release...trades at 0.6572 within quiet early Asian market 11 pip range.

 More to come

Description

Consumer Price Index released by the Statistics New Zealand is a measure of price movements by the comparison between the retail prices of a representative shopping basket of goods and services . The purchase power of NZD is dragged down by inflation. The CPI is a key indicator to measure inflation and changes in purchasing trends. A high reading is seen as positive (or bullish) for the NZD, while a low reading is seen as negative.