EUR/NOK: Sub-10.00 levels look sustainable – ING

The krone has started the year on the front-foot. Prospects of Norges Bank tightening should drift the EUR/NOK pair lower towards the 9.80 zone, according to economists at ING.

The case for four hikes may get increasingly strong

“Norges Bank should not be in any rush to hike again in January, and may use the meeting to merely signal a move in March.” 

“We think the case for four hikes may get increasingly strong, and we expect NOK to remain supported in the coming months, with EUR/NOK that may approach the 9.80 region already in 1Q.”