Norway’s Central Bank Cuts Rates, Stocks Surge 5%

Norges Bank, Norway’s central bank, slashed its interest rates to a record low 0.25% from 1.0% in a second attempt to limit the negative impact of the coronavirus outbreak. A week ago, Norges Bank cut rates by 50 basis points.

The decision, which was made unanimously, helped Norway’s benchmark index OBX 5% higher after it posted a 4-year low earlier this week. A rate cut also helped USD/NOK erase earlier gains as it trades positively on the day.