NOK weakens after CPI data

CPI inflation report for June from Norway was released today at 7:00 am BST. Data was expected to show a slowdown in headline and core inflation measures. Actual report turned out to be even more dovish with both inflation measures slowing more than expected.

Headline CPI inflation slowed from 3.0% to 2.6% YoY, while economists expected a slowdown to 2.9% YoY. Meanwhile, core CPI inflation slowed from 4.1% to 3.4% YoY, while a slowdown to 3.6% YoY was expected. Norwegian krone took a hit following the release, as it boosts chance for rate cuts from Norges Bank. NOK weakened over 0.2% against EUR, with EURNOK testing 11.50 resistance zone.

Source: xStation5