FxWirePro: Norwegian Krone hovers towards 1-week low as crude oil declines
Tuesday, August 4, 2020 10:56 AM UTC
- The Norwegian Krone declined, extending losses for the fouth straight session as crude oil prices declined on fuel demand concerns.
- Crude oil prices declined amid concerns that a nascent recovery in fuel demand could stall as a fresh wave of COVID-19 infections around the world stoked tighter lockdowns.
- International benchmark Brent crude was trading 0.8 percent down at $43.50 per barrel by 1051 GMT, having hit a high of $44.43 on Monday, its highest since July 23. U.S. West Texas Intermediate was trading 0.9 percent lower at $40.40 a barrel, after falling as low as $38.74 on Thursday, its lowest since July 10.
- USD/NOK trades 0.2 percent higher at 9.1403, having touched a low of 9.0013 on Thursday, its lowest since Jan 27.
- The pair rallied to a 1-week peak of 9.17771 in the prior session but trimmed gains to close at 9.1235.
- Immediate resistance is located at 9.1524, close above could take it till 9.1828.
- On the downside, support is around 9.0806 (5-DMA), break below could take it till 9.0490.