Tightening To Resume After Summer

Norges Bank maintained the policy rate at 4.25% while signaling a likely hike in the near future. The central bank raised its peak rate path projection to 4.55% as it continues to battle entrenched inflation.

Key Takeaways

• 1.Norges Bank kept the policy rate at 4.25% but indicated a hike is likely at one of the forthcoming meetings.
• 2.The rate path peak has been lifted to 4.55% by September 2026, signaling a more restrictive stance.
• 3.While the base case is a September hike, an August hike remains possible depending on incoming data.

Table of Contents

• Tightening to resume after summer
• Key conclusions
• Inflation still (too) elevated
• Softer economic activity
• To conclude

Document Preview

Page 1 of 5

Subscribe for full accessStart Free Trial