Slumping Oil Output Weighs on Norway’s Krone

By Erik Norland, Senior Economist, CME Group

• Norway’s oil production has shrunk by 50% from peak in 2000
• Govt debt is low at 32% of GDP, oil reserve fund assets about 200% of GDP
• Flattening yield curve signaling slower growth, higher unemployment?
• Krone has underperformed pound, euro, Swedish krona and oil