Insightful Word
  • Investing
  • Stock
  • Economy
  • Politics
  • Investing
  • Stock
  • Economy
  • Politics
No Result
View All Result
Insightful Word
No Result
View All Result
Home Economy

Norway central bank to keep rates on hold this week, cut in December- Reuters poll

admin by admin
September 16, 2024
in Economy
0
Norway central bank to keep rates on hold this week, cut in December- Reuters poll
0
SHARES
9
VIEWS
Share on FacebookShare on Twitter

OSLO (Reuters) – Norway’s central bank will keep its key policy interest rate unchanged this week at a 16-year high of 4.50%, all 27 economists in a Reuters poll said, as investors look for signs of when Norges Bank may eventually begin to cut borrowing costs.

The central bank has said its monetary policy must balance above-target inflation, exacerbated by a falling currency, with a cooling economy that now sees low overall growth.

Last month the central bank said Norway would keep rates on hold for “some time” to combat inflation, and it is expected to say on Thursday whether this means a cut could come by year-end or would wait until next year.

Norges Bank’s most recent forecast, released in June, called for three rate reductions in 2025, each by a quarter percentage point to end the year at 3.75%, with the first of those cuts slated for March at the earliest.

The forecast will be updated on Thursday, and a majority of analysts in the Sept. 12-16 poll now expect a cut in December this year followed by four more cuts by the end of 2025 to a policy rate of 3.25%.

Market pricing meanwhile predicts as much as seven rate cuts by the end of 2025, brokers said, reflecting expectations of steady rate reductions abroad, including by the U.S. Federal Reserve which will give a policy update on Wednesday.

HAWKISH SURPRISE?

But some analysts cautioned the weak currency could force Norges bank to hold back to avoid a further inflation-inducing drop against the euro and the dollar.

“The market is in for a hawkish surprise, in our view,” Handelsbanken said in a Sept. 12 note to clients, adding that the most likely timing of a cut was in March of next year.

“The rate path will be lowered somewhat, but not to the extent that the market is anticipating,” it added.

Norway’s core inflation, which strips out changing energy prices and taxes, eased to 3.2% year on year in August, down from 3.3% in July, in line with analysts’ expectations but still well above the central bank’s 2.0% target.

This post appeared first on investing.com

Previous Post

Central bank body BIS urges cenbanks not to squander interest rate buffers

Next Post

ECB should keep cutting rates gradually, Lane says

admin

admin

Next Post
ECB should keep cutting rates gradually, Lane says

ECB should keep cutting rates gradually, Lane says

Trending News

How far will the FTSE 100 go in 2025? Analysts weigh in

How far will the FTSE 100 go in 2025? Analysts weigh in

December 31, 2024
Scholz, fighting for survival, says Germans should not choose between security and prosperity

Scholz, fighting for survival, says Germans should not choose between security and prosperity

November 13, 2024
Bessenomics: How Trump’s Treasury Pick Could Deliver Golden Age for United States

Bessenomics: How Trump’s Treasury Pick Could Deliver Golden Age for United States

January 25, 2025
Subscribe to Insightful Word


    Recent News

    S&P 500 nears record high despite headwinds: key drivers behind the surprise rally

    S&P 500 nears record high despite headwinds: key drivers behind the surprise rally

    June 26, 2025
    Top Nasdaq 100 Index stocks of 2025 as it breaks new all-time high

    Top Nasdaq 100 Index stocks of 2025 as it breaks new all-time high

    June 26, 2025
    S&P 500 nears record high as Wall Street opens higher amid tech momentum

    S&P 500 nears record high as Wall Street opens higher amid tech momentum

    June 26, 2025
    Galaxy Digital launches $175 million fund to back DeFi and stablecoin startups

    Galaxy Digital launches $175 million fund to back DeFi and stablecoin startups

    June 26, 2025

    Recent News

    S&P 500 nears record high despite headwinds: key drivers behind the surprise rally

    S&P 500 nears record high despite headwinds: key drivers behind the surprise rally

    June 26, 2025
    Top Nasdaq 100 Index stocks of 2025 as it breaks new all-time high

    Top Nasdaq 100 Index stocks of 2025 as it breaks new all-time high

    June 26, 2025

    Latest News

    • S&P 500 nears record high despite headwinds: key drivers behind the surprise rally
    • Top Nasdaq 100 Index stocks of 2025 as it breaks new all-time high
    • S&P 500 nears record high as Wall Street opens higher amid tech momentum

    About Insightful Word

    • Contacts
    • Cookie Notice
    • Privacy Policy
    • Terms of Service
    • Trading tools
    • Contacts
    • Cookie Notice
    • Privacy Policy
    • Terms of Service
    • Trading tools

    Copyright © 2025 Insightfulword.com. All Rights Reserved.

    No Result
    View All Result
    • Investing
    • Stock
    • Economy
    • Politics

    Copyright © 2025 Insightfulword.com. All Rights Reserved.