Norwegian krone at three-year low

Kjetil Malkenes Hovland, E24

The Norwegian kroner fell against the euro to 9.87 after weak shopping numbers on Thursday. It’s the weakest krone since December 2014, writes E24.

The krone hasn’t been weaker since the Credit Crunch, with the exception of Dec. 16th, 2014, when the euro traded for a while at NOK 9.88.

At around 8:30 a.m. Thursday, a euro bought 9.87 kroner on the interbank market. That’s the amount banks pay themselves, although customers gladly pay a mark-up when they exchange currency.

Two weeks ago, the krone reached NOK 9.8 against the euro, and several analysts blamed a weaker housing market in Sweden and Norway and said the mood in the market was negative.

Now, the krone is even weaker and near the lowest levels since the financial crisis. It’s had a tendency to weaken around Christmas time, when trade in kroner is weak. In 2014, the krone weakened to 9.88 against the euro after a severe weakening in the oil price and a surprising cut in the prime lending rate by the Norwegian Central Bank, or Norges Bank.


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