Institution: New Zealand Federal Reserve's restrictive monetary policy has caused damage, calling for a sharp rate cut

Jarrod Cole, chief economist at Judo Bank in New Zealand, said New Zealand's latest economic reports prove that restrictive monetary policy has done enough damage to curb inflationary pressures. He said the Reserve Bank of New Zealand is responding, but it is too late. An October rate cut is almost certain, and Cole advocates a 50 basis point cut and a further 50 basis point cut in November. Cole said the official cash rate needs to fall at a rate of up to 300 basis points. (Jinshi)