A lot has changed over the past few weeks. The NZ economic recovery has hit another speedbump in the form of a shift up in NZ’s COVID Alert Levels. Fiscal authorities have extended support measures, and the Reserve Bank is forcing NZ interest rates lower with renewed vigour. We’ve changed our interest rate call and now expect the Reserve Bank’s cash rate to be slashed into negative territory next year. Our mortgage rate forecasts have had a good clip as a result.