News Formal

NOK Update: Market pessimism overdone for Norway

  • 📰 FXStreetNews
  • ⏱ Reading Time:
  • 25 sec. here
  • 4 min. at publisher
  • 📊 Quality Score:
  • News: 20%
  • Publisher: 72%

EURNOK Nouvelles

Norway,Banks

Right now, the market is pricing in around 5 rate cuts from Norges Bank over the next year.

We think this is vastly overdone and see a clear upside to forward interest rates but as a consequence, also a clear downside to EUR/NOK, Nordea FX analysts note. A clear upside to the current market pricing of rates “While the drop in rates expectations abroad surely pulls the rate path from Norges Bank down in isolation, the deprecation of NOK more than compensate for this.

” “With growth picking up and inflation, while somewhat lower than expected still much higher than comfortable for Norges Bank, we just don’t see the need for Norges Bank to stimulate the economy much. At least not with NOK at this weak levels. The weakening of NOK we have witnessed lately will mean higher inflation 6-9 months out.” “We therefore see a clear upside to the current market pricing of rates in Norway. This should in consequence also support the NOK going forward.

 

Merci pour votre commentaire. Votre commentaire sera publié après examen.
Nous avons résumé cette actualité afin que vous puissiez la lire rapidement. Si l'actualité vous intéresse, vous pouvez lire le texte intégral ici. Lire la suite:

 /  🏆 14. in BE

Belgique Dernières Nouvelles, Belgique Actualités

Similar News:Vous pouvez également lire des articles d'actualité similaires à celui-ci que nous avons collectés auprès d'autres sources d'information.

Big Update on Trade Market for 2x NBA All-StarThis 2x NBA All-Star is owed $20 million next season.
La source: SInow - 🏆 273. / 63 Lire la suite »

Jerome Powell's Market Update Spurs Crypto Response: DetailsFed chair Jerome Powell recently delivered remarks with implications for markets
La source: Utoday_en - 🏆 295. / 63 Lire la suite »

Prestige Market Stayed Hot, While Mass Market Was Flat in First Half, According to New ReportCircana data shows robust growth in the prestige market, while the mass market saw unit declines across the board.
La source: wwd - 🏆 24. / 68 Lire la suite »

Tuberville, Alabama lawmakers blame market unrest on ‘Kamala Crash’: Why did the stock market drop?The Dow was down more than 900 points by lunchtime.
La source: aldotcom - 🏆 82. / 68 Lire la suite »

Market in turmoil, NASDAQ sinks +3% as Nonfarm Payrolls highlight labor market slowdownThe stock market pullback that began in the latter half of July is pumping the brakes full force on Friday after US Nonfarm Payrolls for last month surprised to the downside.
La source: FXStreetNews - 🏆 14. / 72 Lire la suite »

Ripple (XRP) Defies Market Sentiment With 8% Surge, Bitcoin (BTC) Struggles at $66K (Market Watch)Crypto Blog
La source: Crypto_Potato - 🏆 568. / 51 Lire la suite »