NZ can continue to record reasonable GDP growth around trend - ANZ

Analysts at ANZ explained that the current economic cycle has been a bit unusual, not least for its lack of general inflation, but also arguably because the broad consensus is that it still has legs yet (which is also our view admittedly).

Key Quotes:

"This is despite the cycle starting to get a little ‘long in the tooth’, and capacity constraints and late-cycle headwinds making themselves felt. That is not to say there aren’t risks that could change this picture."

"Left well enough alone we believe the economy can continue to record reasonable GDP growth around trend."

"But with the data flow turning more mixed of late, and some key growth drivers of recent years running out of puff, it is timely to take a look at the upside and downside ‘home-grown’ risks for why growth could be either stronger or weaker than expected."