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Stock impact report

Norway Keeps to Higher-for-Longer Rate Mission: Decision Guide [BNN Bloomberg (Canada)]

SVENSKA HANDELSBK UNS/ADR (SVNLY) 
NASDAQ:AMEX Investor Relations: danskebank.com/investor-relations
Company Research Source: BNN Bloomberg
With all economists surveyed by Bloomberg anticipating officials to keep the key interest rate at a 16-year high of 4.5%, investors will focus on how firmly Governor Ida Wolden Bache and colleagues insist that Norway needs to restrict monetary policy for “some time ahead.” Reiterating that message would affirm the claim of one of the pioneers of post-pandemic global tightening, whose hiking cycle began in 2021, to be one of the staunchest disciples of the higher-for-longer mantra that the US Federal Reserve first aired last August. While inflation recently slowed more than forecast, officials are confronting a currency that's vulnerable to weakening, an economy showing signs of resilience, and wage demands that could threaten to further stoke consumer prices. “Norges Bank is likely to be cautious in fueling any near-term rate-cut expectations,” said Amanda Sundstrom, a fixed income and currency strategist at SEB AB in Stockholm. “For those hoping for signals of rate cuts anytim Show less Read more
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