The inflation rate in New Zealand is downgrading not so fast as expected. Yesterday the New Zealand statistics agency published a report on consumer price index in the country.
According to the published findings, the inflation slackened pace in March to 0.5% on a quarterly basis fixing at an annual level of 1.6%.
The analysts expected a quarterly downtrend just by 0.6%. The Reserve Bank was waiting to see a consumer price upturn at 0.7%.
This news supported the New Zealand currency, a growth by 20 points versus the US dollar was fixed to the level of 81 dollars 75 cents.
However, the authorities are not satisfied with the current New Zealand currency rate. According to the Prime Minister of New Zealand John Cay, the country's currency is oversold and extremely sensible to news. With this announcement the investors sentiment has changed to bearish.