‘Benign’ New Zealand Inflation Vindicates English, Damps Kiwi
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New Zealand’s inflation accelerated less than economists estimated, backing up Finance Minister Bill English’s view that price gains aren’t a problem and giving the central bank room to keep interest rates low. The kiwi fell.
Consumer prices rose 0.8 percent in the first quarter from the previous three months, when they advanced 2.3 percent, Statistics New Zealand said in Wellington today. The median estimate in a Bloomberg News survey of 12 economists was for a 1 percent gain.