CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 65.5% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Pairing – The amount of Norwegian Krone (NOK) that one can buy for every European Euro (EUR).
EUR – World’s second most traded currency
NOK - World’s fourteenth most traded currency
Quality of life – Norway is well-known for having one of the best standards of living in Europe. Due to this, the currency tends to remain stable, due to low unemployment rates, and a richness of natural resources (including forests, minerals, and sea life).
Petrol – The largest natural resource in Norway is petroleum, therefore the currency can be heavily influenced by oil prices.
Economic range – The euro is affected by the economic and political situations of all Eurozone countries, from the strong and stable such as Germany, to those who have had to endure debt and austerity measures, such as Greece, Ireland, and Italy. This can have a sporadic effect on the currency.
Floating exchange rate – The exchange rate on the krone stopped being fixed in 1992, the Norges bank, Norway’s central bank, made this decision due to much speculation against the currency.