#EURSEK @ 10.8019 EURSEK: Upside surprise on Sweden’s inflation needed to support the Krona – Commerzbank

…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for PREMIUM VERSION HERE to read full post below containing analysis. In case of any error or you think you are not able to read the full post below, please email us at support#nehcap.com [lwa][/s2If] [s2If current_user_can(access_s2member_level4)]

In Sweden, inflation is due for publication today. An upside surprise is required to provide support to the Swedish Krona, economists at Commerzbank report.

“The data for October, due for publication today, is unlikely to point towards an improvement on the inflation front, thus confirming that the Riksbank will have to take a further 50 bps rate step next week.”

“The market also expects 50 bps next week. That means today’s inflation data would have to surprise on the upside to provide support for SEK, as this would fuel speculation that the Riksbank will have to raise its rate path again, meaning that it would expect rates to peak at more than 2.50%.”

“Market sentiment of course also remains an important factor for further SEK gains.”

[/s2If]
Join Our Telegram Group