Norwegian Krone Falls on Trader Minister’s Comments

  March 10th, 2012 at 3:31, Vladimir Vyun

A fan of 50-krone notesThe Norwegian krone slumped after the country’s trade minister said that the strong currency is hurting Norway’s exporters, causing traders to speculate about possible intervention.

Trond Giske, Norway’s Minister of Trade and Industry, said:

It is our concern because the export industries are hurting from the strong krone. We are following the situation closely.

Giske also added:

Those exporters that are both hurting from the strong krone and falling markets in Europe, those are the ones we are most worried about.

These comments followed earlier statement of Oeystein Olsen, central bank’s Governor, that the strong currency is detrimental for the nation’s economy. Such talks resemble the words of Swiss and Japanese officials before they performed interventions. Does it mean that Norway will also intervene? Some investors have certainly thought so, triggering the sell-off.

USD/NOK jumped from 5.5864 to close at 5.6974 and EUR/NOK climbed from 7.4798 to the closing price of 7.4883.

If you have any questions, comments or opinions regarding the Norwegian Krone, feel free to post them using the commentary form below.

Leave a Comment

Name Required

Email Required

Website

Comment

Archives

SUBSCRIBE

Follow Top Forex News on Twitter T