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Danske Bank note that "EUR/NOK continues...>

EURO-NOK
EURO-NOK: Danske Bank note that "EUR/NOK continues to feel heavy even on days
with limited news flow and flat-to-sour risk appetite. In our view this reflects
the shift in underlying capital flows in favour of NOK stemming from Norges
Bank's substantial daily NOK buying. Tuesday's revised fiscal budget showed a
further rise in the estimated NOK buying need of NOK37.5bn. What is more, we
expect the NOK buying amount to rise substantially later this month when the
government is likely to present a phase-3 stimulus package. As a result, as long
as COVID-19 news does not sour significantly, we favour more EUR/NOK downside."
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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