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NOKSEK Eyes 2020 Levels As Oil Remains Weak

NOK

A further leg-down in oil prices once again pressures the NOK, with NOKSEK eyeing lowest levels since 2020. EURNOK has also moved through yesterda's high.

  • Crude has faced downward pressure from strong US and Russia production, scepticism towards OPEC+ output cuts and the weak economic outlook, per our Commodities team.
  • That leaves NOKSEK a touch above the May 3 low of 0.9498. A sustained break of this level is a bear trigger and would leave 0.9274 (Nov 2, 2020 low) as the next key downside level.
  • The latest move comes ahead of the Norges Bank decision tomorrow. Our preview is here

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