Norway: Norges Bank will cut by 50bp – Nordea

Norges Bank will publish its newest Monetary Policy report and a new rate path on the 19th of March, at 09:00 GMT. Analysts at Nordea are expecting a rate cut. Meanwhile, EUR/NOK trades at 11.074.

Key quotes

“The outlook for monetary policy in Norway has changed markedly during the past week and we, therefore, believe that the key rate will be reduced to 1%. This is in line with market pricing and consensus.”

“Our best estimate of the new rate path signals that another cut should be delivered further out. However, the forward guidance presented by the rate path has much less significance than usual in these highly uncertain times.”