EUR/NOK plummets to fresh lows on Norges Bank

The Norwegian Krone is gathering further traction on Thursday, now dragging EUR/NOK to fresh lows in sub-8.9800 levels.

EUR/NOK weaker post-Norges Bank

NOK has picked up extra pace after the Norges Bank left its key policy rate unchanged at 0.50%, matching initial estimates.

The Norges Bank said it decided to keep the key rate unchanged today after recent developments in the Nordic economy have been within the bank’s projections back in September.

The central bank also noted the stronger NOK and higher oil prices than initially projected. In the same line, domestic capacity utilization remained within the bank’s projections although household debt and house prices remain high and consumer prices have been lower than forecasted.

EUR/NOK significant levels

As of writing the cross is retreating 0.57% at 8.9765 and a breach of 8.8937 (2016 low Oct.4) would expose 8.8167 (low Jul.16 2015) and then 8.6021 (low Jun.29 2015). On the other hand, the next hurdle is located at 9.0533 (high Oct.26) followed by 9.0981 (high Oct.10) and finally 9.1501 (high Sep.26).