NZ: Q1 GDP underwhelming at +0.6%/qtr - TDS

Analysts at TDS explain that the New Zealand’s Q1 GDP data release was underwhelming at +0.6%/qtr and +2.9%/yr, well under their expectation for +1%/qtr.

Key Quotes

“The outcome is likely to support those calling for rates to be on hold this year. Dry weather impacting dairy production had an an impact but should prove temporary. The bigger question is whether consumption and business investment can be sustained given net migration has most likely peaked and business confidence has remained low.”