13 Aug 2015
EUR/SEK tanking on data
FXStreet (Edinburgh) - The Swedish krona is rapidly appreciating vs. the euro on Thursday, sending EUR/SEK to test the area below the 9.50 level, or weekly lows.
EUR/SEK lower on CPI
The cross is quickly losing ground after inflation figures in the Swedish economy surprised markets to the upside, with consumer prices coming in flat on a monthly basis during July and contracting less than initially forecasted 0.1% over the last twelve months. Further data showed CPI at constant interest rates has also come in on the positive side, up 0.1% inter-month and 0.9% YoY.
In the meantime, SEK keeps gathering steam amidst market expectations that the Riksbank could refrain from cutting rates at its next meeting in September, although traders remain wary that further SEK appreciation will be unwelcomed by the central bank.
EUR/SEK relevant levels
As of writing the cross is retreating 0.98% at 9.4941 with the next support at 9.4846 (low Aug.6) ahead of 9.4662 (low Aug.5) and finally 9.4361 (low Aug.4). On the flip side, a break above 9.5991 (high Aug.12) would open the door to 9.6191 (high Aug.11) and then 9.6292 (high Aug.10).
EUR/SEK lower on CPI
The cross is quickly losing ground after inflation figures in the Swedish economy surprised markets to the upside, with consumer prices coming in flat on a monthly basis during July and contracting less than initially forecasted 0.1% over the last twelve months. Further data showed CPI at constant interest rates has also come in on the positive side, up 0.1% inter-month and 0.9% YoY.
In the meantime, SEK keeps gathering steam amidst market expectations that the Riksbank could refrain from cutting rates at its next meeting in September, although traders remain wary that further SEK appreciation will be unwelcomed by the central bank.
EUR/SEK relevant levels
As of writing the cross is retreating 0.98% at 9.4941 with the next support at 9.4846 (low Aug.6) ahead of 9.4662 (low Aug.5) and finally 9.4361 (low Aug.4). On the flip side, a break above 9.5991 (high Aug.12) would open the door to 9.6191 (high Aug.11) and then 9.6292 (high Aug.10).