Core Points - The Reserve Bank of New Zealand has lowered the official cash rate by 25 basis points to 3.0%, marking the lowest level in three years [1] - New Zealand's Prime Minister Christopher Luxon described this move as a "significant stimulus to the economy," aimed at alleviating pressure on mortgage-holding households and businesses [1] - Economists noted that the Reserve Bank had considered a larger rate cut, indicating concerns over weakness in employment, manufacturing, and the real estate market [1]

Key Points - The financial market is set to experience a series of critical data releases and events this week, with a focus on the Reserve Bank of Australia's interest rate decision and the U.S. July Consumer Price Index (CPI) [1] - The Australian Reserve Bank unexpectedly maintained the official cash rate (OCR) at 3.85% in July, but market expectations lean towards a potential cut to 3.60% due to easing inflation and a declining employment report [3] - The U.S. July CPI data is anticipated to provide insights into inflation trends, especially after the unexpected underperformance of the non-farm payroll data, which has heightened expectations for a Federal Reserve rate cut in September [5] - The International Energy Agency (IEA) and the U.S. Energy Information Administration (EIA) will release their monthly energy outlook reports, which will offer guidance on oil demand, supply, and price forecasts [8] - The U.K. is expected to release GDP data for Q2 and June, with previous data indicating economic contraction, increasing pressure on the Bank of England to consider further rate cuts [9] - The Eurozone will also publish a revised GDP figure for Q2, with expectations of a modest growth rate of 0.1% [11] - Japan's GDP data for Q2 will be released, following a 0.7% year-on-year decline in Q1, raising concerns about the economic outlook and potential implications for the Bank of Japan's interest rate policy [12]

Group 1: US Dollar - The Federal Reserve's Barkin noted that consumers have begun to expect rising inflation, impacting market sentiment, but there is currently no evidence that this has led to reduced consumer spending [2] - Williams emphasized that the US reserve levels remain significantly ample, and having reserves as a buffer is crucial when facing major shocks [2] - For emerging market economies, exchange rates are a very important aspect influencing inflation and demand [2] Group 2: Non-USD Major Currencies - ECB Governing Council member Holzmann stated that the ECB should at least postpone further rate cut plans until September [3] - Bank of Japan Governor Ueda mentioned that many tariff negotiations are still ongoing, including those between the US and Japan, leading to uncertain prospects [3] - The Reserve Bank of New Zealand lowered its policy rate from 3.50% to 3.25%, marking the sixth consecutive rate cut, aligning with market expectations [3] - RBNZ Chair Hawkesby indicated that there is room for further appropriate reductions in the official cash rate (OCR), with expectations showing at least another 25 basis points cut [3] - Westpac Bank now expects the RBNZ to cut the official cash rate to 3% in August instead of July [3] Group 3: Other Central Banks - Hungary maintained its benchmark interest rate at 6.5%, in line with market expectations [3] - The Bank of Israel's Governor suggested that if inflation trends moderate, an early rate cut could be initiated [3] - Swedish central bank Deputy Governor Jansson warned that if the current situation persists, the appreciation of the krona could be significant [3] - Polish central bank member Duda stated that the appropriate timing for a rate cut would be at the end of the third quarter, with further wage data being very important [3]