Norway currency moves impacted by oil market uncertainty

The recent volatility of the Norwegian crown currency has been particularly influenced by uncertainty in the market for crude oil, Norway's central bank governor told reporters on the sidelines of a hearing in parliament on Monday. "While the crown rose somewhat late last week, it has been clearly weaker than our forecast from March," Oeystein Olsen said.
"The crown is volatile and fluctuates from week to week. Uncertainty influences currency markets, and the oil price influences the crown; particularly the uncertainty in oil markets ahead," he added.On a trade-weighted basis, the value of the crown weakened by almost four percent from mid-March to early May, while the price of crude oil fell by about five percent. Both the price of crude and the currency have since partially recovered.