-
Policy
Policy
Exclusive interviews with leading policymakers that convey the true policy message that impacts markets.
LATEST FROM POLICY: -
EM Policy
EM Policy
Exclusive interviews with leading policymakers that convey the true policy message that impacts markets.
LATEST FROM EM POLICY: -
G10 Markets
G10 Markets
Real-time insight on key fixed income and fx markets.
Launch MNI PodcastsFixed IncomeFI Markets AnalysisCentral Bank PreviewsFI PiFixed Income Technical AnalysisUS$ Credit Supply PipelineGilt Week AheadGlobal IssuanceEurozoneUKUSDeep DiveGlobal Issuance CalendarsEZ/UK Bond Auction CalendarEZ/UK T-bill Auction CalendarUS Treasury Auction CalendarPolitical RiskMNI Political Risk AnalysisMNI Political Risk - US Daily BriefMNI Political Risk - The week AheadElection Previews -
Emerging Markets
Emerging Markets
Real-time insight of emerging markets in CEMEA, Asia and LatAm region
-
Commodities
Commodities
Real-time insight of oil & gas markets
-
Credit
Credit
Real time insight of credit markets
-
Data
-
Global Macro
Global Macro
Actionable insight on monetary policy, balance sheet and inflation with focus on global issuance. Analysis on key political risk impacting the global markets.
Global MacroDM Central Bank PreviewsDM Central Bank ReviewsEM Central Bank PreviewsEM Central Bank ReviewsBalance Sheet AnalysisData AnalysisEurozone DataUK DataUS DataAPAC DataInflation InsightEmployment InsightGlobal IssuanceEurozoneUKUSDeep DiveGlobal Issuance Calendars EZ/UK Bond Auction Calendar EZ/UK T-bill Auction Calendar US Treasury Auction Calendar Chart Packs -
About Us
To read the full story
Sign up now for free trial access to this content.
Please enter your details below.
Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
Real-time Actionable Insight
Get the latest on Central Bank Policy and FX & FI Markets to help inform both your strategic and tactical decision-making.
Free AccessMNI REVIEW: Norges Bank On Hold; No Word On Tightening
Governor Olsen Says Balance Of Risks Suggests Rates At Current Level For Some Time
The Norges Bank left policy unchanged in August, keeping the benchmark policy rate at a record low 0%, with the Monetary Policy and Financial Stability Committee seeing the economy evolving broadly in line with its latest quarterly projections, published in June. But policymakers did not repeat explicitly June's line that rates were likely to rise towards the forecast horizon.
The Committee's June projections were based on a collective rate path that showed the policy rate holding at zero for a couple of years before edging up in 2022 and reaching 0.5% in 2023, at the end of the forecast period.
In its policy announcement Thursday, the committee said nothing about future tightening.
UNCHANGED FOR SOME TIME
"The Committee's assessment of the outlook and balance of risks suggests that the policy rate will most likely remain at today's level for some time ahead", Governor Oystein Olsen said.
No new economic projections was issued in August and while the committee said that "new information largely confirms the picture of the economic developments presented in the June Report," it did identify some downside risks.
While output picked up in line with its projections, with May data showing a 2.4% rise, the labour market was weaker than expected. The committee also cited concerns about a pick-up in Covid-19 infection rates, which have been low by international standards in Norway.
Inflation on the target measure, CPI-ATE, was stronger than forecast, hitting 3.5% in July. The committee said that the strengthening of the krone, which plunged in March as the Covid pandemic roiled global markets but has since rallied on its I-44 import weighted measure back to pre-pandemic levels, should bring inflation back down.
"The krone appreciation and prospects for low wage growth suggest that inflation will moderate further out," the committee saidTo read the full story
Sign up now for free trial access to this content.
Please enter your details below.
Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.