Preliminary prices and exchange rates
The Euro is the official trading currency in the day-ahead market.
As Nord Pool offers a currency service, all members trading at Nord Pool can choose to trade in either EUR, NOK, SEK or DKK. In order to calculate the prices all orders need to be converted into the same currency - EUR.
Prior to the price calculation, Nord Pool contacts the bank and gets the currency rates valid at 12:00 CET. These preliminary currency rates are used as input in the price calculation. Preliminary prices are written in purple color on the website.
The trading systems determine the amount of each currency needed to perform the settlement for all members in the correct trading currency. Once the EUR prices are complete, Nord Pool contacts two to three banks to perform the official currency hedging, and the official exchange rates are set.
During weekends, only the preliminary currency rate is used. The official hedging for the weekends is done Monday morning.
Both the preliminary and official exchange rates can be found in the bottom of Elspot prices table, when choosing different currencies.