EUR/NOK seen rangebound near term – Danske Bank

Allan von Mehren, Chief Analyst at Danske Bank, expects the cross to remain sidelined for the time being.

Key Quotes

“Overall, we still see EUR/NOK as a range play but still highlight that the risk of correction higher has increased amid relative rates’ reduced potential for sending the NOK higher in the remainder of 2017 (e.g. Norges Bank, Nibor fixings)”.

“In addition, we have for the past few weeks argued that the balance of risk for the oil price is somewhat on the downside from current levels”.