Imre Speizer, Senior Market Strategist at Westpac, suggests that the market pricing for the RBNZ shifted lower earlier this week in the wake of the sharp fall in the RBNZ inflation expectations survey. Key Quotes “Markets now price in a terminal rate of 2.18%, i.e. a 100% probability the RBNZ will cut once more this year, and a 30% chance it will cut twice. We expect the RBNZ will indeed cut twice more this year. Trying to predict the exact months these will occur is tricky, but we have pencilled in June and August. Governor Wheeler didn’t sound in a hurry to ease during his annual speech, and the domestic economy is buoyant. However inflation is low and we expect it will remain close to zero for much of this year.” For more information, read our latest forex news.