The British pound gave back most of its gains against the Norwegian krone in yesterday’s trade as renewed Brexit uncertainties keep weighing on sterling.

After the UK parliament approved a December general election, markets and investors are now assessing what impact each election outcome could have on the UK and the pound. The currency rallied around 5% in the past month, pushing its value of multi-month highs, but analysts believe that the renewed uncertainty could prevent fresh investment flows into sterling.

The worst-case scenario is that a no-deal Brexit could be back on the table again, as voters decide whether to support Corbyn’s Labour or Johnson’s Tories in December.

The Norwegian krone gained against the British pound despite a lower-than-expected change in retail sales, which came in at -0.1% vs. 0.2 expected.

Markets are also awaiting tomorrow’s UK manufacturing PMI, which is expected to fall to 48.2, down from the previous month’s 48.3 reading.

Lower oil prices in yesterday’s trade, while not beneficial for the NOK, weren’t able to prevent the surge of the krone against sterling.

From a technical standpoint, the GBP/NOK pair fell from overbought levels and traded at 11.85, as of 7:00 a.m. London time. Tuesday’s pinbar candle already suggested that buyers were rejecting prices above the 11.90 level, while a bearish divergence in the RSI showed that the recent upturn in the pair was likely overstretched.

While the British pound has recovered some ground against the krone during the Asian session, pushing the pair above yesterday’s high of 11.91 will likely be a tough challenge for pound buyers at the moment. To the downside, yesterday’s low of 11.8360 acts as short-term support. is a news site only and not a currency trading platform. is a site operated by TransferWise Inc. (“We”, “Us”), a Delaware Corporation. We do not guarantee that the website will operate in an uninterrupted or error-free manner or is free of viruses or other harmful components. The content on our site is provided for general information only and is not intended as an exhaustive treatment of its subject. We expressly disclaim any contractual or fiduciary relationship with you on the basis of the content of our site, any you may not rely thereon for any purpose. You should consult with qualified professionals or specialists before taking, or refraining from, any action on the basis of the content on our site. Although we make reasonable efforts to update the information on our site, we make no representations, warranties or guarantees, whether express or implied, that the content on our site is accurate, complete or up to date, and DISCLAIM ANY IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. Some of the content posted on this site has been commissioned by Us, but is the work of independent contractors. These contractors are not employees, workers, agents or partners of TransferWise and they do not hold themselves out as one. The information and content posted by these independent contractors have not been verified or approved by Us. The views expressed by these independent contractors on do not represent our views.