Yield on Two-Year Norwegian Bond Seen Attractive

Dow Jones
10/07

0513 GMT - The two-year Norwegian government bond at a yield close to 5% does look attractive for investors, Danske Bank's Jens Peter Sorensen says in a note. "We expect that Norges Bank has reached the peak on monetary policy at 4.5%," the chief analyst says. Norges Bank raised its key policy rate by 25 basis points to 4.50% in September. "Hence, we recommend focusing on the two-year rather than the 20-year [bond] at the auction," he says. On Wednesday, Norges Bank will auction 3 billion Norwegian kroner in April 2028- and September 2046-dated bonds.

 

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