Rolling coverage of the latest economic and financial news, including the Bank of England interest rate decision at noon
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Another central bank decision hits the wires, with Norway’s Norges Bank lifting its key interest rate by a quarter-point.
Norges Bank’s Monetary Policy and Financial Stability Committee has raise the policy rate from 4.0% to 4.25%, due to inflation being “markedly” above target.
“Whether additional tightening will be needed depends on economic developments. There will likely be one additional policy rate hike, most probably in December.
Developments are thus going in the right direction, but inflationary pressures in the Swedish economy are still too high.
For inflation to fall back and stabilise around the target of 2% within a reasonable period of time, the Executive Board has therefore decided to raise the policy rate by 0.25 percentage points to 4%. The forecast for the policy rate indicates that it could be raised further.
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