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Norway unemployment rate 3.4% (consensus 3.5) in Jul-23

- Norway's unemployment rate in July 2023 was reported at 3.4%, slightly below market expectations of 3.5%, indicating a stable labor market.
- The unemployment rate has remained steady since December 2022 and is only slightly above the one-year average, suggesting a stable labor market situation with room for improvement.

Norway mainland GDP growth 0.0% m-o-m (consensus 0.2) in Jun-23

- Norway's mainland GDP growth stagnated in June 2023, recording 0.0% month-on-month, falling below the market consensus of 0.2%.
- This marks the lowest growth level since April 2023 and indicates a deviation from both the one-year average and long run average growth rates.

Norges Bank: Aug-23

• With a current inflation rate of 6.4%, significantly above the target of 2%, the Norges Bank's unsurprising decision to raise the policy rate by 25bps to 4% aligns with the need to counter high inflationary pressures.
• The Norwegian economy showcases strength with higher-than-expected mainland GDP and low unemployment. Still, caution is urged due to the surge in unsold homes and a slowdown in household credit growth.
• Based on prevailing economic conditions and forward guidance, another rate hike is likely in September. However, the exact trajectory will depend on future developments, with the potential for both aggressive hikes or a more dovish approach.

Norway PPI inflation -35.38% y-o-y (consensus -46.7) in Jul-23

- Norway's PPI inflation in July 2023 exceeds market expectations by standing at -35.38% year-on-year, indicating a less severe pace of price decline at the producer level.
- The current PPI inflation is substantially below both the short-term and long-term averages, suggesting improved cost conditions for producers.