New Zealand consumer inflation falls, still exceeds bank target

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New Zealand consumer inflation falls, still exceeds bank target
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Bruce Cockburn: 50 years of music, spirituality and social justice | SaltWireWELLINGTON -New Zealand's consumer inflation fell to its lowest level in two years but remains above the central bank’s target of 1% to 3% as prices of everything from food to housing rise.

The consumer price index rose 1.8% quarter-on-quarter, faster than the 1.1% rise in the second quarter. The data was slightly lower than economists’ expectations in a Reuters poll for a 2.0% rise for the quarter and a 5.9% annual rise. Two-year swap rates fell 7 basis points to 5.63% as the market pared the chance of a hike in November to 20%, from 33% ahead of the data. The New Zealand dollar slipped 0.3% to $0.5910.

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