Norges Bank Holds at 4.25%, Nomura Sees Possible November Hike
Nomura notes Norges Bank kept its policy rate at 4.25% in August and still flags a possible further hike, now expected in November, with no cuts projected until September.
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Nomura economists note that Norges Bank left its policy rate at 4.25% in August, even as CPI-ATE inflation came in softer. The central bank is still flagging that a further hike may be possible.
Nomura now expects any additional increase to arrive in November. However, the risks are tilted toward no further hike, and no rate cuts are projected until September.
The message keeps policy restrictive and suggests the disinflation path has not yet convinced Norges Bank to signal easing.
Source: FXStreet Forex News