Key facts
- Norway's central bank raised interest rates on Thursday.
- Sweden's central bank signaled a likely rate hike before the end of the year.
- Both central banks warned that higher fuel prices risk slowing the return of inflation to their 2% target.
Norway's central bank increased its key interest rate on Thursday, marking a continuation of the global rate-hiking cycle into Scandinavia. Meanwhile, Sweden's central bank signaled that it is likely to follow suit before the end of the year. Both monetary authorities expressed concerns that elevated fuel prices, driven in part by ongoing global conflicts, pose a risk to their efforts to bring inflation back to their respective 2% targets.