Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Norway Krone Strengthens as Norges Bank Excludes Cut: Oslo Mover

Don't Miss Out —
Follow us on:

Sept. 19 (Bloomberg) -- Norway’s krone climbed to its strongest level against the euro in more than a month after the central bank today held the interest rate unchanged and signalled it’s no longer considering a cut.

Norway’s krone appreciated as much as 1.1 percent against the euro to 7.7847, the strongest level since Aug. 13, and traded at 7.825 as of 12:21 p.m. in Oslo. It strengthened against all major currencies except the South Korean won in a 17-member basket compiled by Bloomberg.

Norges Bank kept its key rate unchanged at 1.5 percent “as widely expected and the rate path was lifted, excluding any probability for a rate cut,” Erica Blomgren, an analyst at SEB AB, said in an e-mailed note to clients. “The krone forecast implies that the krone will, on average, strengthen by 1 percent until year-end.”

Norges Bank has kept rates unchanged for more than a year while signaling as recently as June that policy makers were prepared to ease to prevent krone strength from undermining their inflation targeting. Those efforts paid off last month as underlying inflation surged to 2.5 percent, hitting the target for the first time in four years.

To contact the reporter on this story: Stephen Treloar in Oslo at streloar1@bloomberg.net

To contact the editor responsible for this story: Christian Wienberg at cwienberg@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.