12 Feb 2016
EUR/SEK: consolidation is more likely – Danske Bank
Analysts at Danske Bank expect the cross to remain within 9.10-9.50 in the medium term.
Key Quotes
“The Riksbank cut the repo rate to -0.50% and flattened the repo rate forecast especially longer out. It stands ready to do more. This was more or less as expected, although the cut was slightly bigger than we and the market had thought”.
“The decision sent EUR/SEK sharply higher. In our view the move higher is overdone”.
“We continue to think that 9.10-9.50 represents a fair range for EUR/SEK over the next couple of months. We continue to forecast EUR/SEK at 9.30 in 1-3M”.
Key Quotes
“The Riksbank cut the repo rate to -0.50% and flattened the repo rate forecast especially longer out. It stands ready to do more. This was more or less as expected, although the cut was slightly bigger than we and the market had thought”.
“The decision sent EUR/SEK sharply higher. In our view the move higher is overdone”.
“We continue to think that 9.10-9.50 represents a fair range for EUR/SEK over the next couple of months. We continue to forecast EUR/SEK at 9.30 in 1-3M”.