Norges Bank is expected to hike rates by 25 basis points (bps) on Thursday, June 23. EUR/NOK could edge higher following the policy announcement, however, economists at EUR/NOK expect the pair to move back lower into end-2022.

EUR/NOK seen at 10.30 on a three-month view

“While a 25 bps rate hike from the Norges Bank this week could result in EUR/NOK drifting higher in the coming weeks, we see potential for EUR/NOK lower into year-end.” 

“We forecast EUR/NOK at 10.30 on a three-month view.”