Danske Bank Still Recommend Looking For NOK Selling Ops In Weeks To Come

Danske Bank note that "it was a fairly odd session for NOK yesterday. Equities ended marginally lower, value underperformed growth, curves flattened, oil dropped and domestic data fell slightly short of expectations. In such a session, we almost always see NOK underperform peers but that was not the case yesterday. In fact, NOK joined the duration sensitive currencies in JPY and CHF alongside GBP as the session winners. Typically, when we see such price action it often tends to be flow driven. This might be why NOK gave up some of the gains late in the session. Either way, market focus will turn to NOK inflation this morning. We want to downplay the importance of this release (relative to Norges Bank expectations) in favour of forward-looking indicators. We still recommend clients look for NOK selling opportunities in the weeks to come."