Norway Raises Rates, First European Country To Do So
Posted by rawfinance on November 2, 2009
Last week, Norway became the first European country to raise interest rates since the onset of the financial crisis, citing a nascent rebound in the global economy and inflationary pressures in its petroleum-exporting economy. Inflation has been higher than expected and unemployment is “considerably lower than previously projected,” the Norges Bank governor, Svein Gjedrem, said in a statement announcing the one-quarter point increase in the overnight deposit rate, to 1.5 percent. While the global economy remains in a deep downturn, the central bank chief said, “there are signs of renewed growth.”
Investors looking to capitalize on Norway’s economic strength may consider the Global X FTSE Nordic 30 exchange traded fund (symbol: GXF).
A report on Norway’s rate increase may be viewed at the New York Times by clicking on the following link: Norway Is First in Europe to Lift Interest Rates.
[Disclosure: The Model Portfolio of Trafalgar Investment Advisers LLC is long GXF]
Tranen Capital said
Norway is an economic powerhouse that is largely underestimated and keeps achievements close to the vest. Tranen Capital believes that this economy, largely energy independent and focused on green and ethical investments will make Norway the safest and most sustainable economy in the world.
rawfinance said
Are there certain companies in Norway that you follow, or would you recommend a more general investment, like through an exchange-traded fund that focuses on Norway?