EUR/SEK plummets to lows near 9.7500 post-CPI

A bout of buying pressure around the Swedish Krona has relegated EUR/SEK to the area of daily lows in the 9.7500 neighbourhood.

EUR/SEK weaker on CPI

SEK gathered extra traction after consumer prices in the Nordic economy rose at an annualized 1.7% in May, matching consensus although a tad lower than April’s 1.9% gain. On a monthly basis, prices rose 0.1%.

Further data saw the CPIF (CPI at constant interest rates) rising 0.1% during the same period and 1.9% over the last twelve months, surpassing initial forecasts.

The cross is retreating further after clinching fresh 2017 peaks above 9.8100 (June 8), although the broader tone on the Krona still appears tilted to the downside, always under the strict surveillance of the Riksbank.

EUR/SEK levels to consider

As of writing the cross is losing 0.48% at 9.7555 and a breakdown of 9.7145 (76.4% Fibo of 9.3922-9.8141) would expose 9.6960 (low May 26) and then 9.6693 (55-day sma). On the upside, the immediate barrier is located at 9.8052 (high Jun.8) seconded by 9.8141 (2017 high Jun.8) and finally 9.8525 (high Nov.28 2016).