Norges Bank Survey Shows Rising Activity, Cooling Rate Cut Bets

Most Norwegian companies see increasing activity and rising wage pressure, according to a key survey of corporate sentiment, denting chances of interest rate cuts by the Nordic country’s central bank in coming months.

Output is seen growing 0.2% in the second quarter, versus no change seen in March, followed by a 0.3% expansion in the third quarter, Norges Bank said on Thursday, citing its regional network contacts. Construction output is still seen shrinking this quarter and next, while all other sectors project an expansion.