Norges Bank Foreign Exchange Daily Purchase reflects the Bank's foreign exchange transactions associated with petroleum revenue spending.
An increase in foreign exchange purchases or a decrease in Norwegian krone purchases indicates that petroleum revenues are above the projected budget deficit. This may happen, for example, in situations when petroleum prices rise in the global market. Such a situation is favorable for the Norwegian economy and can therefore be seen as positive for the NOK quotes. Conversely, the situations in which Norges Bank is forced to sell more currency and to buy Norwegian kroner to finance the budget deficit may indicate a worsening economic situation.
