FOREX TradingCharts.com

Financial News: Norges Bank Sheds Downward Bias

Norges Bank Sheds Downward Bias

06/22/2017 - 08:39:00 (RTTNews)

(RTTNews) - Norway's central bank unanimously decided to leave its key interest rate unchanged on Thursday for the ninth consecutive policy session and abandoned its downward bias for the rate path.

The Executive Board of the Norges Bank voted to hold the key policy rate at 0.50 percent, in line with economists' expectations. The previous change in the rate was a quarter-point reduction in March 2016.

"The Executive Board's current assessment of the outlook and the balance of risks suggests that the key policy rate will remain at today's level in the period ahead," Governor Oystein Olsen said.

The current assessment of the outlook and the balance of risks suggests that the key policy rate will be kept at 0.5 percent in 2017 and 2018, the bank said in the monetary policy report.

There are prospects that the key policy rate will be raised gradually from 2019, reaching 1.25 percent towards the end of 2020, the bank added.

Policymakers judged that there was a continued need for an expansionary monetary policy.

Capacity utilization in the Norwegian economy is still below a normal level, and the outlook suggests that inflation will range between 1 percent and 2 percent in the coming years, the bank said.

Low house price inflation would curb debt accumulation, but it will take time for household vulnerabilities to recede, the bank said.

Capital Economics' Jack Allen expects the key rate to remain unchanged until 2020, later than the Norges Bank projects. This would help to stem the upward pressure on the krone if oil prices rise, the economist added.

In the quarterly report, the bank said inflation will slow further in the near term and then move up a touch towards the end of 2017.

The inflation projection has been lowered somewhat for 2017 to 1.8 percent and has been revised up a little for the following years. Inflation is projected at somewhat above 1.5 percent at the end of 2020.

The projection for mainland GDP growth for this year was revised up to 2 percent from the March Report. The bank forecast 1.9 percent expansion for both 2018 and 2019.

For comments and feedback: contact editorial@rttnews.com

Copyright(c) 2017 RTTNews.com. All Rights Reserved

Market News provided by RTTNews

RECENT INTERNATIONAL FINANCIAL NEWS


Swiss Consumption Indicator Remains Broadly Stable In June (22 min(s), 39 sec(s) ago)
(RTTNews) - The Swiss consumption indicator remained broadly stable in June signaling subdued grow ...Full Story»

Singapore Industrial Production Growth Exceeds Forecast (01 hr(s), 12 min(s), 39 sec(s) ago)
(RTTNews) - Singapore's industrial production growth accelerated at a faster-than-expected pac ...Full Story»

Japan Small Business Confidence Strengthens In July (01 hr(s), 18 min(s), 39 sec(s) ago)
(RTTNews) - Japan's small business confidence strengthened for the third straight month in Jul ...Full Story»

European Economics Preview: UK GDP Data Due (01 hr(s), 33 min(s), 39 sec(s) ago)
(RTTNews) - Preliminary quarterly national accounts from the UK is due on Wednesday, headlining a ...Full Story»

Australia Consumer Prices Rise 0.2% In Q2 (32 min(s), 21 sec(s) ago)
(RTTNews) - Consumer prices in Australia gained 0.2 percent on quarter in the second quarter of 20 ...Full Story»

Australia Consumer Prices Add 0.2% In Q2 (02 min(s), 21 sec(s) ago)
(RTTNews) - Consumer prices in Australia were up 0.2 percent on quarter in the second quarter of 2 ...Full Story»

(UPDATE) BRAZIL: Government Raises Iron Ore Royalty Charge (42 min(s), 21 sec(s) ago)
(RTTNews) - The Brazilian government will change the calculation method and raise the rates of Fin ...Full Story»

New Zealand June Trade Surplus NZ$242 Million (02 min(s), 21 sec(s) ago)
(RTTNews) - New Zealand posted a merchandise trade surplus of NZ$242 million in June, Statistics N ...Full Story»

Search

INTERNATIONAL FINANCIAL NEWS

Swiss Consumption Indicator Remains Broadly Stable In June

07/26/2017 - 02:21 AM (RTTNews)
(RTTNews) - The Swiss consumption indicator remained broadly stable in June signaling subdued grow ...Full Story>>

Singapore Industrial Production Growth Exceeds Forecast

07/26/2017 - 01:31 AM (RTTNews)
(RTTNews) - Singapore's industrial production growth accelerated at a faster-than-expected pac ...Full Story>>

Japan Small Business Confidence Strengthens In July

07/26/2017 - 01:25 AM (RTTNews)
(RTTNews) - Japan's small business confidence strengthened for the third straight month in Jul ...Full Story>>

European Economics Preview: UK GDP Data Due

07/26/2017 - 01:10 AM (RTTNews)
(RTTNews) - Preliminary quarterly national accounts from the UK is due on Wednesday, headlining a ...Full Story>>

Australia Consumer Prices Rise 0.2% In Q2

07/25/2017 - 22:16 PM (RTTNews)
(RTTNews) - Consumer prices in Australia gained 0.2 percent on quarter in the second quarter of 20 ...Full Story>>

Binary Options Articles Courtesy of NADEX

These pages, and all content ©TradingCharts.com Inc and other copyright holders. Permission is not granted to redistribute charts, data, news or other information found on this site, in any manner. Although it is believed that information provided is accurate, TradingCharts will not accept liability for any loss or damage that may arise from use of the content, inability to access the website, or delay or failure of receive of any information provided through this site.