Norway’s Norges Bank Keeps Rates at 4.50%, Guides ‘On Hold for Some Time’

Norway’s central bank, the Norges Bank’s Monetary Policy and Financial Stability Committee kept rates at 4.50% at its January Meeting. The bank has borrowing costs that are the highest level since December 2008 as it sought to combat persistent inflation. Norges Bank guided it would stay on hold for “some time.” It dropped reference to how “the policy rate will lie around 4.5% until autumn 2024” which could be meaningful, or it could just be a reflection of the fact … Continue reading “Norway’s Norges Bank Keeps Rates at 4.50%, Guides ‘On Hold for Some Time’”

Norway’s Norges Bank Suprises by Hiking Rates Another 25bps to 4.50%

Norway’s central bank, the Norges Bank’s Monetary Policy and Financial Stability Committee in a surprise decision raised rates by 25bps to 4.50% at its December Meeting. The bank has lifted to borrowing costs that are the highest level since December 2008 as it sought to combat persistent inflation. Governor Ida Wolden Bache said “The forecast indicates that the policy rate will continue to lie around 4.5% until autumn 2024 before gradually moving down”. The move is in contrast to yesterday’s … Continue reading “Norway’s Norges Bank Suprises by Hiking Rates Another 25bps to 4.50%”

Norway’s Norges Bank Holds at 4.25%, Guides Another 25bps in December with a Caveat

Norway’s central bank, the Norges Bank’s Monetary Policy and Financial Stability Committee unanimously held the policy benchmark interest rate at 4.25% and guided that another hike was likely in December, repeating what it said during its September meeting, bringing borrowing costs to the highest level since December 2008. However, this time they added with the caveat that if they become “more assured that underlying inflation is on the decline, the policy rate may be kept on hold.” Market pricing continues to … Continue reading “Norway’s Norges Bank Holds at 4.25%, Guides Another 25bps in December with a Caveat”

Philippines Central Bank Surprised Raising Rates to 6.50% in Emergency Meeting, Warns of Future Hikes

The Monetary Board of the Bangko Sentral ng Pilipinas (BSP), Philippines central bank raised its benchmark interest rate by 25 basis points and hinted at further hikes to contain surging inflation following an emergency meeting on Thursday, lifting the key rate to 6.5%. The move came after inflation accelerated to 6.1% year-on-year in September as food prices rose. It is the highest since the 7.50 percent logged in May 2007. Since it started raising interest rates in May last year, … Continue reading “Philippines Central Bank Surprised Raising Rates to 6.50% in Emergency Meeting, Warns of Future Hikes”

Norway’s Norges Bank Raised Rates 25bps to 4.25% and Guided Another 25bps in December

Norway’s central bank, the Norges Bank’s Monetary Policy and Financial Stability Committee unanimously raised the policy benchmark interest rate by 25bps to 4.25% and guided that another hike was likely in December during its September meeting, bringing borrowing costs to the highest level since December 2008. Norges Bank also slightly revised its expectation for the key rate, suggesting it could hover around 4.5% through 2024. The bank stated the rise in interest rates was to manage inflation. In August, the country’s … Continue reading “Norway’s Norges Bank Raised Rates 25bps to 4.25% and Guided Another 25bps in December”

Norway’s Norges Bank Raised Rates 25bps to 4% and Guided Another Hike Likely in September

Norway’s central bank, the Norges Bank’s Monetary Policy and Financial Stability Committee unanimously raised the policy benchmark interest rate by Norges Bank hiked 25bps to 4% and guided that another hike was likely in September during its August meeting, bringing borrowing costs to the highest level since December 2008. The result saw the Norwegian crown rise from a six-week low against the dollar up 0.2% to 10.59, having fallen as low as 10.66 earlier. Against the euro it rose 0.3% to … Continue reading “Norway’s Norges Bank Raised Rates 25bps to 4% and Guided Another Hike Likely in September”

Philippines Central Bank Held Rates at 6.25% with Stable Peso and Downward Inflation Trend

The Monetary Board of the Bangko Sentral ng Pilipinas (BSP), Philippines central bank held rates at 6.25%. Rates at their August meeting, the highest since the 7.50 percent logged in May 2007. Since it started raising interest rates in May last year, the BSP has so far increased key policy rates by 425 basis points (bps), making it the most aggressive central bank in the region. BSP Governor Eli Remolona Jr. said “monetary authorities are ready to respond as necessary … Continue reading “Philippines Central Bank Held Rates at 6.25% with Stable Peso and Downward Inflation Trend”

EIA Forecast World Oil Consumption to Overtake Production This Year with Russia and KSA Cuts

In the July STEO, EIA forecast that world oil consumption will overtake production this year, this reverses earlier forecasts. The EIA 2023 world oil demand growth forecast was raised by 170kbpd to 1.76mbpd Y/Y,however, the 2024 forecast demand cut by 60kbpd to a 1.64mbpd Y/Y. A small drop in oil production from OPEC+ alliances with the extension of production cuts and those outside of them will trim global supply to 101.1mbpd a day, just short of demand. EIA sees US … Continue reading “EIA Forecast World Oil Consumption to Overtake Production This Year with Russia and KSA Cuts”

Norway’s Norges Bank Raised Rates by 50 bps to 3.75%, Supports Krone, Fights Inflation

Norway’s central bank, the Norges Bank’s Monetary Policy and Financial Stability Committee unanimously raised the policy benchmark interest rate by 50 bps to 3.75 percent during its June meeting, bringing borrowing costs to the highest level since December 2008. Consensus was divided with 14 expecting +25bps and 11 expecting 50bps. The result surprised markets and drove the 2-year yield up 16bps and the krone up by about 1½% to the dollar. Norges bank refreshed explicit forward guidance raised the projected terminal … Continue reading “Norway’s Norges Bank Raised Rates by 50 bps to 3.75%, Supports Krone, Fights Inflation”

Philippines Central Bank Held Rates at 6.25%, Highest Since May 2007 as Inflation Moderates

The Monetary Board of the Bangko Sentral ng Pilipinas (BSP), Philippines central bank held rates at 6.25%. Rates are now the highest since the 7.50 percent logged in May 2007. Since it started raising interest rates in May last year, the BSP has so far increased key policy rates by 425 basis points (bps), making it the most aggressive central bank in the region. Governor Felipe Medalla said “I would like to see two months of below 4% inflation before … Continue reading “Philippines Central Bank Held Rates at 6.25%, Highest Since May 2007 as Inflation Moderates”