EUR/NOK stays in lows near 9.4500 on Norges Bank

The Norwegian Krone is sharply higher vs. its European peer on Tuesday, now dragging EUR/NOK to record fresh daily lows in sub-9.4400 levels.

EUR/NOK lower on Norges Bank

NOK has appreciated further today following the release of the Norges Bank’s Regional Network Survey.

In the survey, contacts reported that output growth has gathered traction since the winter, and at a stronger pace than what was expected at the February’s survey.

Furthermore, the higher output growth has been sustained by a pick up in public investment and private sector demand, while a less pronounced decline in the oil industry has also collaborated with the upbeat results.

Finally, contacts now expects the output growth to keep the up trend in the next months, a moderate increase in employment and an annual wage growth of 2.5% fort he current year.

Adding to today’s NOK gains, the barrel of Brent crude is extending the bounce off recent lows and is meandering the mid-$48.00s, or up 0.60%, as of writing.

The cross has quickly dropped to fresh 2-week lows in sub-9.4400 levels, retreating at the same time for the fourth consecutive session.

EUR/NOK significant levels

As of writing the cross is retreating 0.61% at 9.4388 and a breakdown of 9.3332 (55-day sma) would expose 9.3229 (low May 25) and then 9.3120 (low May 19). On the flip side, the next up barrier lines up at 9.5810 (high Jun.7) seconded by 9.5817 (2017 high May 5) and then 9.7511 (2016 high Jan.21).