Economists are back at work this week and have started putting out their regular commentaries again and many have the theme of what's in the wind for the year. Over the next couple of days we will report on where they think interest rates, particularly the OCR is heading.
BNZ's view is one of no change. It notes that "current market pricing has no hike in the Official Cash Rate, at all, over the next 12 months, and barely 25bps of tightening by the end of 2013. The ultimate peak in the OCR, for way down the track, looks to be in the order of 3.50%."
