South Africa Retail Sales (YoY): 3.3% (October) vs 2.7%

New Zealand’s reserve bank finds itself stuck before it meets tomorrow to decide on rate hike. The current 0.4 per cent inflation makes it necessary for the central bank to slash rates to stimulate demand and boost prices in the process. However a decision to slash rates will likely cause a sharp rise in asset price and also fan its already red-hot housing market. This dilemma will weigh on policy makers when they meet tomorrow.