Krona should begin to slowly appreciate over the coming quarters – Commerzbank

FX

Riksbank delivered a 75 basis points hike as expected. In the view of economists at Commerzbank, the Swedish Krona has been hit heavily lately, and expect it to regain some ground.

Riksbank stays its course

“Riksbank hiked its key rate by 75 bps to now 2.50%. Riksbank stays its course and is fighting determinedly against inflation. The reason is clear: ‘Inflation is still far is too high’, according to the statement.”

“I stick to my view that it is unfair that SEK was affected so heavily over the past months by elevated risk aversion.”

“Krona should begin to slowly appreciate over the coming quarters, although in view of the major (political) uncertainty, appreciation is likely to be slower than we had previously expected.”

Articles You May Like

Levi Strauss beats estimates, offers upbeat guidance for fiscal year
Live ( CPI ) News XAUUSD GOLD 5M Chart Scalping Forex Trading Signals
Gold little changed as traders focus on U.S. inflation
Aussie Staying Strong With Positive Risk Sentiment, Dollar Eyes GDP
USDCAD stays above the 100/200 hour MAs. Macklem is done.