PHOTO: ROBERT KITCHIN/STUFF On March 27, Reserve Bank governor Adrian Orr said the next move for interest rates was more likely to be a cut than an increase. On Tuesday gloomy results in New Zealand’s most watched survey of business confidence saw banks warn a rate cut could come as soon as next month.
Economists at ASB brought forward when they believe the Reserve Bank will cut interest rates following another gloomy business confidence survey.
On Tuesday the Quarterly Survey of Business Opinion (QSBO), the leading survey of its type in New Zealand, showed businesses were more gloomy about their own activity over the coming months than in any quarter since 2012.
For the first time in more than six years, more businesses expect a decline in their activity in the next three months than expect an improvement.
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