Norges Bank surprised investors during today's interest rate announcement. Bank was expected to hold the main rate unchanged at 0.25% but instead decided to cut it to 0%. Norwegian central bankers expect rates to stay at this level "for some time". Norges Bank expects 5.2% contraction in mainland GDP this year. NOK weakened on the release.
USDNOK erased decline and moved significantly higher on Norges Bank rate decision announcement. However, a knee-jerk move higher was halted by the downward trendline. Source: xStation5
