Extra FNI Update: Lowest level since early 1990s

The FNI was last updated 15 April.

The past month, we have updated the FNI index nearly every week. Since the end of February, the index has signaled that the Norwegian economy is entering, or is in, a recession. The FNI index has now reached its lowest level since the financial crisis, and is approaching as low as after the banking crisis that hit the Norwegian economy in the early 1990s.

The figure below compares the current development in the FNI index with its development at the beginning of the financial crisis and oil crisis. The figures are normalized to 0 by the assumed starting point for each crisis, and shows the development in the FNI index 30 days before the starting point, and up to 90 days after.

corona_midapril

In the time that follows, we will monitor the business cycle closely, and we will probably publish updated FNI numbers more often than the regular monthly updates.

chart (2)

The figure graphs the Financial News Index (FNI) with 68 percent confidence bands. The blue solid line demeaned quarterly GDP growth Mainland Norway, sourced from Statistics Norway (SSB). Please use the citation “FNI – Retriever/CAMP_BI” when using the index.

  • To read more about the FNI, visit our website.
  • To read more about the use of textual data, we recommend: Thorsrud, Leif Anders (2018), “Words are the new numbers: A newsy coincident index of the business cycle”, Journal of Business & Economic Statistics.

 

Previous FNI updates

2 thoughts on “Extra FNI Update: Lowest level since early 1990s

  1. Pingback: Extra FNI Update: A V-Shaped Recession? – CENTRE FOR APPLIED MACROECONOMICS AND COMMODITY PRICES (CAMP)

  2. Pingback: Extra FNI Update: Still well below trend, but improving – CENTRE FOR APPLIED MACROECONOMICS AND COMMODITY PRICES (CAMP)

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