🇳🇴❗️Cable FX Macro Weekly Note: Norway Consumer Prices

**As seen in Risk In The Week report 10/06/25, subscribe now!

CPI inflation rose to 3.5% year-over-year from 3.3% in July, driven by higher housing and energy costs, though offset by declines in food and clothing. Core CPI-ATE was 3.1% YoY, down slightly from prior months. Month-over-month, CPI fell 0.6%, reflecting seasonal factors like summer sales. Inflation peaked at 7.5% in late 2022 amid energy shocks but has trended downward, averaging 4.2% in 2024. It remains elevated due to a tight labor market (unemployment ~3.8%) and krone weakness.

Analysts at SEB noted said that CPI-ATE is expected to be stable at 3.1% in September, in line with Norges Bank’s forecast. However, the Norges Bank recently upgraded its inflation forecast, the central bank expects headline and core measures to accelerate by 3.2% and 3.0% Y/y in 2025.