NZ: Expect a gain of 0.3% for Q4 employment - TDS

Analysts at TDS expect +0.3%/q for New Zealand’s Q4 employment, as the prolonged election outcome means downside risk.

Key Quotes

“If the participation rate eases to 71%, the u-rate ticks higher to 4.7%. We expect wages at +1.9%/yr, with stronger growth expected this year. RBNZ is expected to leave cash rate at 1.75%, and while most expect unchanged guidance, we see a case for earlier and higher cash rate projections.”