EUR/NOK settles below 1-week high, posts weekly gain

The EUR/NOK currency pair settled below Friday’s high of 11.9436, its strongest level since July 18th, in the wake of the European Central Bank’s policy decision.

The ECB left its main refinancing operations rate intact at 2.15%, while the deposit facility rate was kept at 2.0%.

Borrowing costs have been brought to their lowest levels since November 2022 after eight consecutive rate cuts.

ECB policy makers have adopted a wait-and-see approach, as they evaluate the impact of lingering trade uncertainty and the potential fallout from US tariffs on GDP growth and inflation.

In June, Euro Area’s inflation aligned with the ECB’s 2% target.

Elsewhere, the seasonally adjusted unemployment rate in Norway has risen to 5.4% in June from 4.6% in May. It has been the highest jobless rate since May 2021.

The EUR/NOK currency pair settled 0.25% higher at 11.9263 on Friday.

The exotic Forex pair gained 0.86% for the week.