New Zealand's Q2 GDP Data Expected To Show Less Severe Contraction

According to Odaily, New Zealand's economy remains weak, but the second-quarter GDP data to be released this week is expected to show that the economic situation is not as dire as the Reserve Bank of New Zealand (RBNZ) recently suggested when it cut interest rates. JPMorgan economist Ben Jarman predicts a quarterly contraction of approximately 0.1%, contrary to the RBNZ's forecast of a 0.5% decline. He added that JPMorgan's forecast indicates that the economic growth outcome is not as bad as feared. If the data aligns with this prediction, it could reduce the likelihood of the RBNZ cutting interest rates by 50 basis points at its next meeting.