SEK: Riksbank not to point to an earlier start of the tightening - ING

Analysts at ING don’t expect the Riksbank meeting (Thu) to point to an earlier start of the tightening cycle - currently pencilled in for 3Q18 in the bank’s own forecast - given its historically cautious stance and concerns about the SEK strength weighing on inflation.

Key Quotes

“We note that the trade-weighted SEK is around 2.5% stronger versus the Riksbank forecast.”

“Cautious but slightly neutral Riksbank suggests that EUR/SEK should not persistently break the 9.4500 level.”