The Norwegian Krone surged, reversing most of its previous session losses, as the crude oil prices recovered some ground from its recent decline. Crude oil prices steadied after tumbling in the previous session on an une…
The Norwegian Krone surged, reversing most of its previous session losses, as the crude oil prices recovered some ground from its recent decline.
Crude oil prices steadied after tumbling in the previous session on an unexpected rise in U.S. stockplies as the coronavirus pandemic continued to hurt fuel demand.
U.S. crude inventories rose 2 million barrels, compared with forecasts for a 1.3 million-barrel decrease in a Reuters poll.
International benchmark Brent crude was trading 0.5 percent up at $39.90 per barrel by 0950 GMT, having hit a low of $39.29 on Tuesday, its lowest since June 16. U.S. West Texas Intermediate was trading 0.7 percent higher at $37.26 a barrel, after falling as low as $36.15 on Tuesday, its lowest since June 15.
Moreover, a decline in the greenbakc against a basket of currencies also boosted the bid tone around the Norwegian currency.
The dollar index tumbled after data showed U.S. weekly jobless claims hovered at high levels last week, suggesting a slowing labour market recovery and casting a shadow over hopes for a quick economic rebound
USD/NOK trades 0.6 percent lower at 9.0084, having touched a high of 9.1813 the day before, its highest since July 24.
On Thursday, the pair surged nearly 0.6 percent but found strong resistance at 55-EMA.
Immediate resistance is located at 9.0970, close above could take it till 9.1216 (55-EMA).
On the downside, support is around 8.9817 (7-EMA), break below could take it till 8.9495 (20-EMA).
