New Zealand Economy Unexpectedly Contracted in Third Quarter
- Revisions show nation was in recession earlier this year
- Traders increase bets on Reserve Bank rate cuts in 2024
A pedestrian passes buildings in Auckland, New Zealand,.
Photographer: Fiona Goodall/BloombergThis article is for subscribers only.
New Zealand’s economy unexpectedly contracted in the third quarter, fueling bets that the central bank will start cutting interest rates next year.
Gross domestic product declined 0.3% in the three months through September after increasing 0.5% in the previous quarter, Statistics New Zealand said Thursday in Wellington. Economists expected 0.2% growth. From a year earlier, the economy shrank 0.6% — its weakest performance since a pandemic-led contraction in 2021.