The statement and conference will be of most interest to the market. It will include the Bank's forecast OCR track, details about how it plans on running down its LSAP holdings, and more.

• RESERVE BANK NEW ZEALAND SAYS TIGHTENING IS MORE IMPORTANT

• 22 February 2022, 19:00:34 - RESERVE BANK of NEW ZEALAND AGREES TO COMMENCE GRADUAL REDUCTIONS OF THE RESERVE BANK’S BOND HOLDINGS UNDER LARGE SCALE ASSSET PURCHASE PROGRAMME

• 22 February 2022, 19:00:57: RBNZ SAYS IT REMAINS APPROPRIATE FOR CONTINUING REDUCING MONETARY STIMULUS

• 22 February 2022, 19:01:26: RBNZ SAYS SOME SHORT TERM ECONOMIC DRUPTIONS ARE EXPECTED GIVEN COVID-19'S CURRENT GROWING HEALTH CHALLENGE.

• 22 February 2022, 19:01:42 RBNZ SAYS: ECONOMIC CAPACITY PRSURES HAVE CONTINUED TIGHTENING

• 22-Feb-2022 19:02:04 - RBNZ SAYS HEADLINE CPI INFLATION IS WELL ABOVE THE RESERVE BANK'S TARGET RANGE, BUT WILL RETURN TOWARDS THE 2 PERCENT MIDPOINT OVER COMING YEARS

• RBNZ SEES OFFICIAL Cash Rate AT 1.49% IN JUNE 2022. (PVS 1.51%).

• 22 February 2022, 19:00:01 RBNZ SEES OFFICIAL Cash Rate AT 2.57% IN March 2023 (PVS 2.3%).

• 22-Feb-2022, 19:00:01 RBNZ SEES WI NZD AT AROUND 71% IN MARCH 2023. (PVS 75.1%).

• 22 February 2022, 19:00:01 RBNZ SEES ANNUAL CP 3.2% BY MARC 2023 (PVS 2.9%).

• 22 February 2022, 19:00:01 RBNZ SEES OFFICIAL Cash Rate AT 2.84% IN June 2023 (PVS 2.4%).

• 22 February 2022, 19:00:01 RBNZ SEES OFFICIAL Cash Rate AT 3.35% in March 2025

More to come...

Update NZD/USD

NZD/USD was stuck above hourly highs that were near 0.6730 before the event. It has since popped to test the 0.6750 resistance.

This analysis of USD/NZD is top-down and was prepared ahead of the event. It focuses on the downside long-term view, while staying below the 0.6770s.

Why traders need the RBNZ

The Monetary Policy Meetings are held by the Reserve Bank of New Zealand (RBNZ). They announce their decisions on interest rates and discuss economic assessments that have influenced them. The NZD valuation is highly affected by clues provided by the central bank about the economic outlook and the future policy path. The RBNZ could tighten its policy by raising interest rates if there are positive economic developments. This is a common NZD bullish trend. Governor Adrian Orr usually follows the policy announcements with a press conference.