ANZ
May 12, 2026
Monetary Policy Expectations Analysis
Market ReportRates Govt BondsMacro Economic IndicatorsFinancials
This report details market expectations for central bank interest rate moves across NZ, US, AU, Eurozone, UK, and Canada through mid-2027.
Key Takeaways
- 1.New Zealand's Official Cash Rate (OCR) is priced for a significant tightening cycle, rising from a current 2.25% to an expected 3.62% by August 2027.
- 2.The Reserve Bank of Australia (RBA) is expected to raise the cash rate from 4.35% to a peak of approximately 4.72% by late 2026.
- 3.US Federal Reserve expectations remain relatively flat with a minor upward bias, projecting a move from an effective FFR of 3.63% to 3.76% by April 2027.
Table of Contents
- Monetary Policy Expectations Analysis
- Important notice
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Securities
New Zealand Official Cash Rate (OCR)Effective Federal Funds Rate (FFR)RBA Cash RateSterling Overnight Index Average (SONIA)Euro Short-Term Rate (ESTRON)
Themes
Global Monetary TighteningInterest Rate Divergence
Regions
Asia PacificNorth AmericaEuropeNew ZealandUnited StatesAustralia
