Swedish Commercial Bank: Norway's Central Bank not in a hurry to cut interest rates.

Marius Gonsholt Hov, Chief Economist of Swedbank in Norway, wrote that the Norwegian central bank is not in a hurry to lower its policy rate. His forecast shows that the bank will keep the rate unchanged until the end of the first quarter. The central bank believes there is a 50% chance of a rate cut in June, and it is very likely to happen in September. Swedbank had previously expected the central bank to send a stronger signal about a rate cut in June, followed by a full rate cut in September. Swedbank states that the central bank then hinted at a 50% chance of another rate cut before the end of 2026, indicating that there may be one to two rate cuts next year. The next fully incorporated rate cut is expected in March 2027, and there is a very low chance of rates falling below 3.25%.