30-04-2025
New forecast suggests the Norwegian krone will make up ground on the US dollar
Bank SEB forecasted that both the Norwegian krone and Swedish krona would strengthen against the dollar over the next year. The bank expects one dollar to be worth 9.42 Norwegian kroner by the end of June 2026.
The last time the krone was as strong against the dollar was in early 2022 before it strengthened considerably against the Norwegian krone.
It is also expected that the euro will be worth around 11.40 kroner by June of next year. A euro has typically traded for considerably more than this over the past year.
'The question is whether this is the beginning of a long-term structural reversal with a 'sell America' theme, as trust in US politics and institutions has eroded,' the analysis said of the expected strengthening.
Interest rate and currency strategist Nils Kristian Knudsen at Handelsbanken told the business and financial
E24
that a recent dip in the dollar against the krone may not reverse.
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'It is starting to gain some traction, in the sense that the market accepts that the fall in the dollar we have had is here to stay,' he said.
He added that the krone strengthening or weakening against the euro would have a more significant impact on consumers in Norway than changes between the krone and the dollar.
