The Pound has managed to make minor positive progress against the Norwegian Krone today, though considerable fluctuations have been seen elsewhere
Oil prices have fallen slightly after yesterday’s upsurge, although the GBP/NOK exchange rate remains deep in negative territory.
WTI Crude Oil is currently advancing again, while Brent Crude is registering small losses of around -0.4%.
Given how closely the Pound and Krone have been trending recently, commodity-related damage on Norway’s side of the pairing has been the main reason behind the latest GBP uptrend.
While the spiking price of oil after an OPEC meeting boosted the Krone’s value earlier this week, it has since dropped back down again, disappointing investors and lowering future expectations.
The Pound to Norwegian Krone (GBP NOK) exchange rate plunged on Wednesday night as OPEC members announced a deal to cap oil production in order to stimulate price growth.
The Pound to Norwegian Krone (GBP/NOK) exchange rate continued to weaken on Thursday afternoon as investors piled into the Krone on the day’s oil news.
Speculation that OPEC’s oil output cap deal would not lead to the desired increase in oil prices failed to hinder demand for NOK much throughout the day, while Sterling’s appeal was drained as the week’s data had thus far proven uninspiring to investors.
GBP/NOK has fallen below the week’s opening levels of 10.5257 as of Thursday morning, despite hitting a weekly high of 10.6039 on Tuesday evening.
Thursday morning saw the pair hit a near two-year low of 10.4459.
However, the pair began to advance again slightly later on Thursday morning as markets began to doubt the perceived effectiveness of OPEC’s oil production deal.
Today’s Norwegian Krone exchange rates are displayed below, live:
On Monday the Pound to British Pound exchange rate (GBP/GBP) converts at 1
Today finds the pound to pound spot exchange rate priced at 1.
The pound conversion rate (against euro) is quoted at 1.166 EUR/GBP.
The live inter-bank GBP-USD spot rate is quoted as 1.256 today.
Please note: the FX rates above, updated 6th May 2024, will have a commission applied by your typical high street bank. Currency brokers specialise in these type of foreign currency transactions and can save you up to 5% on international payments compared to the banks.
Pound (GBP) Exchange Rates Flat, Uninspired by Mixed Data
After falling last week and at the beginning of this week, Pound Sterling (GBP) exchange rates enjoyed a limited relief rally that markets hesitated to continue amid the recent lack of supportive British data.
As such, the Pound has trended relatively flatly since Wednesday and continued to trend limply on Thursday, slipping against most currencies as demand for the Pound waned once more.
Sterling was likely weighed down further on Thursday morning by the day’s UK ecostats, which have been the first influential UK ecostats published this week so far.
August’s net consumer credit report slightly impressed investors, by improving from 1.2b to 1.6b, beating the projected score of 1.4b.
However, markets were dissuaded from Sterling investment due to August’s mortgage approvals scores, which hit a 21-month low of 60,058. This undercut forecasts of a fall from 60.9k to 60.2k.
Norwegian Krone (NOK) Exchange Rates Bolstered by Oil Output-Cut Deal
The Norwegian Krone has been performing better in recent weeks, after the Norges Bank indicated that it was ending its rate cut cycle and leaving interest rates frozen for the time being.
This week’s news has also given a substantial boost to NOK exchange rates, most significantly on the back of Wednesday night’s news that oil-producing nations in the OPEC group would be cutting oil production in an attempt to stimulate demand and higher oil prices amid the recent oil price crisis.
The Krone began its advance against Sterling (NOK GBP) on Wednesday afternoon as investor speculation on the possibility of a deal increased, and kept GBP NOK near its lowest levels following the announcement.
However, Sterling has attempted to soften its losses on Thursday morning, as the Norwegian Krone is held back by speculation that the OPEC deal will not make a significant improvement to oil prices.
A lack of details on the OPEC deal ahead of its supposed November target to begin production cuts has also left markets speculating and in many cases, doubting.
GBP/NOK Exchange Rate Forecast: UK Growth Figures Ahead
So what other news could impact Pound Sterling to Norwegian Krone (GBP NOK) exchange rate trading in the days ahead?
Friday’s session will see the publication of Britain’s final Q2 2016 Gross Domestic Product (GDP) results, which are currently expected to meet preliminary scores of 0.6% quarter-on-quarter and 2.2% year-on-year.
Sterling may find more solid trading ground if the figures meet expectations and will advance if scores beat preliminary ones. However, a worse-than-expected growth result for Q2 could undermine any of the sturdiness Sterling has built up this week.
Norway’s August loan growth figures for August and unemployment results for September will also be published on Friday, which could inspire Krone movement slightly.
The Krone’s main source of influence will likely continue to be oil market movements however, and the currency is likely to weaken slightly in the coming week if analysts and investors lower their expectations on what OPEC’s oil output freeze could accomplish.