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11 Mar 2014
Flash: EUR/NOK to rise to 8.50 in three months – UBS
FXStreet (Córdoba) - The UBS analyst team expects the EUR/NOK to rise to 8.50 over the next months as the NOK weakens in line with a still weak Norwegian economy.
Key Quotes
"The EUR/NOK traded very stable around 8.29 on Monday, as February inflation data met market expectations, with headline inflation falling to 2.1%. However, the economy remains sluggish for Norwegian standards and has yet to show signs of an acceleration".
"The Norges Bank is thus likely to remain on the dovish side at its meeting on 27 March".
"We believe that the NOK has run too far ahead of a still weak economy. We thus expect EUR/NOK to rise to 8.50 in three months".
Key Quotes
"The EUR/NOK traded very stable around 8.29 on Monday, as February inflation data met market expectations, with headline inflation falling to 2.1%. However, the economy remains sluggish for Norwegian standards and has yet to show signs of an acceleration".
"The Norges Bank is thus likely to remain on the dovish side at its meeting on 27 March".
"We believe that the NOK has run too far ahead of a still weak economy. We thus expect EUR/NOK to rise to 8.50 in three months".