Convert NOK to MXN
The Norwegian krone enjoys a strong correlation with the Danish krone and the Swedish krona, owing to geographical and economic proximity among these nations. In addition, the NOK is also correlated with GBP, CAD, EUR and other commodity currencies that are driven by crude oil.
The NOK/MXN currency pair sees price action on the release of important economic data from Norway and Mexico, including GDP, trade balance, inflation, unemployment rate, PMI readings from manufacturing and services sectors, industrial production, retail sales and consumer confidence.
Any changes to the monetary policy and interest rates by the Norges Bank and the Banco de Mexico can cause fluctuations in the value of the NOK and MXN respectively, driving price action in the NOK/MXN currency pair. For instance, if the Banco de Mexico hikes interest rates, it strengthens the Mexican peso and turns NOK/MXN bearish, and vice versa.