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Norway rips up the fiscal rule book

Having endured a bruising few months, the risks to the Norwegian krone now appear to be on the upside, not least given that the government plans to spend a greater proportion of the pension fund this year than it had previously planned. Accordingly, a return to parity against its Swedish cousin by year-end is not out of the question. Meanwhile, next week is a very quiet one on the data front. The main event of interest is the publication of the Riksbank’s latest Financial Stability Report on Wednesday, which will no doubt once again highlight the risks from high household indebtedness.

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