- Analytics
- News and Tools
- Market News
- EUR/SEK to stay above 10.00 as dovish Riksbank caps the krona – ING
EUR/SEK to stay above 10.00 as dovish Riksbank caps the krona – ING
Thursday's Riksbank meeting erred more on the dovish side than economists at ING had expected. In their view, the Swedish krona can recover in the short-run, but upside capped in the medium-run.
Solidly dovish performance form the Riksbank
“Riksbank has defied hawkish expectations and is sticking to its past script of no rate hike before 2024 and no change to its balance sheet size in 2022. Both policies are likely to be adjusted earlier than the Riksbank is currently signaling, but with a lot of tightening already in the price, the medium-term upside for SEK is limited.”
“We still think EUR/SEK is mostly facing downside risks in the coming weeks, and we expect a move to the 10.30-10.35 area by the end of this quarter should global risk sentiment stabilise.”
“In the longer run, the Riksbank’s dovishness should continue to put a cap on SEK’s appreciation, especially considering there is still a good deal of tightening (65bp in the next 12 months) to be priced out of the SEK curve. We now expect EUR/SEK to stay above 10.00 for the remainder of the year.”
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
