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flag New Zealand's central bank governor faces backlash for backing U.S. Fed policy without consulting foreign affairs, raising independence vs. diplomacy tensions.

flag New Zealand's new central bank governor, Anna Breman, faces scrutiny after signing a letter supporting U.S. Fed Chair Jerome Powell without consulting the Ministry of Foreign Affairs, sparking debate over central bank independence versus diplomatic coordination. flag Prime Minister Christopher Luxon and Finance Minister Nicola Willis said they would have preferred prior consultation, while Foreign Minister Winston Peters criticized Breman for overstepping. flag The Reserve Bank defended the move as a stand for central bank independence. flag Meanwhile, U.S. economic signals remain mixed, with inflation, growth, and policy uncertainty keeping markets undecided in early 2026.

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