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Norway's Norges bank surprised markets today with a rate cut of 25 basis points, pushing Krone lower against almost all currencies. Krone is currently trading at against Dollar, down % for the day so far.
Norway's actions raised speculation that oil currencies likely to slide further as central banks would take actions to ease policy.
Speculation have risen particularly over Bank of Canada (BOC), which is scheduled to announce monetary policy decisions on 21st October.
Canadian Dollar has weakened to new 11 year low after Norges Bank introduced rate cut.
We have called for Canadian Dollar to reach 1.38 against Dollar and expect prices to reach there by December. Canadian Dollar is currently trading at 1.335 against Dollar, marginally up from today's low of 1.342.
