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Speaker 1: Hither have you looked at the exchange rates since the

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Speaker 1: OCR announcement? Meaning fuel and everything which is important will

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Speaker 1: be more expensive for BEAZ, Thank you very much for

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Speaker 1: bringing us to this. Right now, it's quarter past six

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Speaker 1: and Remy Morgan Milford Asset Management is with us high. Remy, Hi, Heather.

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Speaker 1: How did the market react to that decision?

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Speaker 2: Today? We saw markets readjusting their interest rate expectations lower

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Speaker 2: in response to that fifty basis point cut, and that

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Speaker 2: was because it wasn't fully priced in. We saw market

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Speaker 2: expectations for the November decision adjusting to fully price another

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Speaker 2: twenty five basis point cut. We saw wholesale swap rates

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Speaker 2: offered lower. Notably, that key two year rate was down

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Speaker 2: around seven basis points shortly after the release. And the

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Speaker 2: other key call out was that INZA dollar, which we

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Speaker 2: can further immediately dropping around one percent against the US dollar. Yeah.

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Speaker 1: What about the INSIDEX have we seen any major moves there? Yeah?

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Speaker 2: So over the last week leading into today, the INSIDEX

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Speaker 2: moved sharply upwards and finally above record highs. Again, it's

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Speaker 2: only taken about four years, and that was likely in

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Speaker 2: anticipation of more rate cuts to come. Following that week

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Speaker 2: GDP print that we had the other week. Some notable

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Speaker 2: moves in share prices that are up around ten percent

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Speaker 2: over the past week are in cyclical retail companies like

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Speaker 2: sky City and Catman, do brands, housing linked retirement companies

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Speaker 2: Ryman and Somerset, and real estate companies, and that larger

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Speaker 2: fifty basis point cut today further supported moves higher. We

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Speaker 2: saw the index closing zero point two five percent on

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Speaker 2: the day, marking a rally of over two percent the

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Speaker 2: past week and closing on a fresh new high.

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Speaker 1: How important do you think was the detail that the

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Speaker 1: Reserve Bank released for the market.

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Speaker 2: It was just a policy announcement this time, and not

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Speaker 2: a full statement with a new set of Reserve Bank

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Speaker 2: forecast as we had back in August, And because it

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Speaker 2: wasn't fully clear to the market which way the RBNZ

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Speaker 2: would go, that made both the decision and the signals

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Speaker 2: that the release sent to the market even more important.

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Speaker 2: Now the messaging signaled openness to cut further, and I

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Speaker 2: think that supported that market move lower in wholesale interest rates,

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Speaker 2: which helps to give that intended transmission effect.

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Speaker 1: Okay, where do we go from here?

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Speaker 2: For companies in the insid X, particularly those more interest

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Speaker 2: rates sensitive and consumer focused companies. There might be some

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Speaker 2: further optimism to come as those lower interest rates continue

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Speaker 2: to transmit through the economy, but it is important to

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Speaker 2: remember that today's market reactions are a point in time

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Speaker 2: reaction and developments in the data and the economy can

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Speaker 2: see markets move potentially either way.

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Speaker 1: In response, Remy, thanks very much, appreciate it. Remy Morgan

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Speaker 1: Milfit Asset Management. For more from Heather Duplessyellen Drive, listen

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Speaker 1: live to news talks. It'd be from four pm weekdays,

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