Swedish Krona Firmer Into Year-End, Riksbank Well-Placed: Rabobank
Rabobank’s Jane Foley says benign CPI and CPIF inflation allow Sweden’s Riksbank to delay rate hikes compared to G10 peers, supporting a moderately firmer krona.
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Sweden’s inflation backdrop gives the Riksbank room to stay patient on rates compared to other G10 central banks, according to Rabobank’s Senior FX Strategist Jane Foley. The latest CPI and CPIF figures have been benign, leaving Sweden better positioned to hold off on tightening despite ongoing supply-side disruptions.
That policy divergence is supporting a moderately firmer tone in the Swedish krona into year-end, she noted.
Source: FXStreet Forex News