Pound Norwegian Krone Exchange Rate Advances on UK Retail Sales Support
The Pound to Norwegian Krone exchange rate slipped from its best weekly levels on Friday afternoon as UK markets indulged in a bout of profit taking from Sterling’s highs.
The Pound was also weighed down by comments from Germany’s finance minister claiming that Britain may need to continue paying the European Union to fulfil various obligations even after leaving the bloc.
Meanwhile, news that oil prices were in for their first weekly gain in five weeks kept the Krone sturdy.
Sentiment towards Pound Sterling deteriorated on Friday morning, with investors increasingly jittery ahead of Chancellor Hammond’s first budget.
With OPEC officials continuing to express confidence in the prospect of an agreement being reached to limit oil output the appeal of the Norwegian Krone has picked up a little, even as market appetite for higher-yielding currencies remained muted.
The Pound has rallied strongly to 10.55 against the Norwegian Krone today, having been lifted primarily by the earlier UK retail sales stats for October. This comes after a surprise drop in UK unemployment.
On both the month and the year, including and excluding fuel sales, the results showed high levels of sales growth during the month, which supported Sterling considerably against the Krone and other peers.
In other news, the House of Lords has avoided power-limiting action by the Government, though this may return to bite Theresa May when it comes to passing Article 50.
Latest Pound/Norwegian Krone Exchange Rates
On Monday the Norwegian Krone to British Pound exchange rate (NOK/GBP) converts at 0.073
Today finds the pound to norwegian krone spot exchange rate priced at 13.607.
Today finds the pound to euro spot exchange rate priced at 1.167.
The GBP to USD exchange rate converts at 1.259 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 Sterling Forecast to Gain if UK Data Impresses
The Pound may be able to climb further against the Krone in the week to come, should Tuesday’s October public sector net borrowing figure print positively.
Also out on Tuesday will be the Confederation of British Industry (CBI) industrial trends for orders November result; this has a shift from -17 to -12 on the cards.
Unfortunately for the Pound, Wednesday may bring high volatility and considerable losses, as Chancellor Philip Hammond will be unveiling his first high-impact Autumn Statement in the middle of the week.
Norwegian Krone Sees Lower Demand after Stark Warning on Future Brent Crude Supplies
The Norwegian Krone has had a middling week against its regular peers, with losses primarily coming from some alarming forecasts for future quantities of Brent Crude oil.
Sharply cutting previous estimates of when crude oil supplies may begin to get critically low, the International Energy Agency has issued a warning that by 2020 there could be dwindling demand and high price fluctuations.
In domestic news, the Norwegian trade surplus has risen in October, although GDP growth rates have turned negative in Q3 on the quarter and the year.
Norwegian Krone Forecast to Slide if Brent Crude Fears Prove Valid
In the long-term, negative Norwegian Krone movement is likely if supplies of Brent Crude dries up by 2020. While the cost of the commodity would soar as supplies dwindled, having a long-term supply to continue selling is the ultimate hope of Norwegian exporters.
In terms of domestic data, the Krone could be shifted on Tuesday next week when Q4 consumer confidence is expected to improve from -4.1 to -2.4.
Looking further ahead, Wednesday is set to see the national unemployment rate stagnate at 4.9%; a surprise drop would likely boost demand for the Krone.
UK Focus: Will Brexit be Derailed by Unimpeded Peers?
Returning to the UK’s political story of the day, the Government may well come to regret laying off on the House of Lords in the long-term, given the opposition they could throw up for the triggering of Article 50.
Commenting on the surprise decision, BBC Political Editor Laura Kuenssberg has stated that;
‘[A] source suggested the chances of mollifying the Lords, particularly the Lib Dems, were slim to none. The Government needs the Lords on board to pass the coming mountains of Brexit-related legislation - it was suggested that there might be as many as 2,000 statutory instruments that require votes as part of the Great Repeal Bill next year. The Government may come to regret giving up this chance to take the Lords down a peg or two’.