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19 Mar 2015
EUR/NOK tanking on Norges Bank
FXStreet (Edinburgh) - The Norwegian krone saw its demand accelerated in the wake of the Norges Bank meeting today, sending EUR/NOK to lows around 8.6400.
EUR/NOK in 3-day lows
The cross is now bouncing off 3-day lows around 8.6400 after the Norges Bank left its benchmark rate unchanged at 1.25% vs. consensus for a 25 bp rate cut to 1.0%. Governor Olsen argued that the effects on the economy from the December’s rate cut were still small and house prices keep rising at a fast pace.
The Nordic central bank added that the economic outlook is ‘somewhat weaker’ now than in December, oil prices continue to fall and the activity in the petroleum activity might suffer further than expected.
EUR/NOK relevant levels
The cross is now losing 2.18% at 8.6774 with the next support at 8.5865 (low Mar.12) ahead of 8.5101 (low Mar.6) and finally 8.5100 (200-d MA). On the flip side, a breakout of 8.8760 (high Jan.29) would open the door to 8.8900 (high Jan.22) and then 8.9221 (high Jan.19).
EUR/NOK in 3-day lows
The cross is now bouncing off 3-day lows around 8.6400 after the Norges Bank left its benchmark rate unchanged at 1.25% vs. consensus for a 25 bp rate cut to 1.0%. Governor Olsen argued that the effects on the economy from the December’s rate cut were still small and house prices keep rising at a fast pace.
The Nordic central bank added that the economic outlook is ‘somewhat weaker’ now than in December, oil prices continue to fall and the activity in the petroleum activity might suffer further than expected.
EUR/NOK relevant levels
The cross is now losing 2.18% at 8.6774 with the next support at 8.5865 (low Mar.12) ahead of 8.5101 (low Mar.6) and finally 8.5100 (200-d MA). On the flip side, a breakout of 8.8760 (high Jan.29) would open the door to 8.8900 (high Jan.22) and then 8.9221 (high Jan.19).