Norwegian Krone Falls After Norway's Inflation Slows in June
Norwegian krone weakened against the US dollar on Wednesday after Norway's annual inflation rate slowed to 2.7% in June from 3.1% in May, reducing expectations for tighter monetary policy. Consumer prices fell 0.2% from May, while core inflation eased to 2.7%, its lowest level since January 2025, missing the preliminary 3.4% estimate and Norges Bank's 3.3% forecast. Norway's trade surplus widened to NOK 61.9 billion in June from NOK 46.9 billion a year earlier as exports increased faster than imports, though stronger trade data failed to support the krone. On the US front, the dollar traded largely unchanged after softer US inflation lowered expectations for a near-term Federal Reserve rate increase, although higher oil prices continued to keep inflation concerns in focus. At the time of writing, USD/NOK was trading at 9.7007, up 0.09%.
Norwegian krone weakened against the US dollar on Wednesday after Norway's annual inflation rate slowed to 2.7% in June from 3.1% in May, reducing expectations for tighter monetary policy.
Consumer prices fell 0.2% from May, while core inflation eased to 2.7%, its lowest level since January 2025, missing the preliminary 3.4% estimate and Norges Bank's 3.3% forecast.
Norway's trade surplus widened to NOK 61.9 billion in June from NOK 46.9 billion a year earlier as exports increased faster than imports, though stronger trade data failed to support the krone.
On the US front, the dollar traded largely unchanged after softer US inflation lowered expectations for a near-term Federal Reserve rate increase, although higher oil prices continued to keep inflation concerns in focus.
At the time of writing, USD/NOK was trading at 9.7007, up 0.09%.