New Zealand's GDP fell by 1.0% in the third quarter, and the money market is paying attention to the magnitude of the rate cut.

According to Jinshi Data, New Zealand's GDP fell by 1.0% in the third quarter, plunging the economy into a downturn. ANZ economist Henry Russell stated that the money market is weighing whether the Reserve Bank of New Zealand will cut rates by 50 or 75 basis points at its monetary policy meeting at the end of February next year.

Despite a clear rebound in high-frequency data, ANZ still leans towards a 50 basis point rate cut by the Reserve Bank of New Zealand. However, any dovish surprises in future data could lead to a 75 basis point cut.