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In store for a bumpy start to 2021

The gloomy backdrop of rising virus cases casts a dark shadow over Q1. However, we expect the rollout of vaccines will pave the way to a rebound in economic activity in May/June, and that Nordic currencies will benefit from a broader rally in risky assets this year. Next week, monthly GDP data from Norway are likely to show that the mainland economy contracted in November, and energy effects are likely to have dragged headline inflation higher in Norway and Sweden in December.

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