19 Aug 2015
EUR/SEK aims for consolidation medium term – Danske Bank
FXStreet (Edinburgh) - Senior Analyst at Danske Bank Stefan Melklin sees the cross navigating within 9.30-9.60 in the next months.
Key Quotes
“The Riksbank’s rate cut and expanded QE programme in early July followed by downward pressure on energy prices and growing concerns about the global economic (thus inflation) outlook set the uptrend for EUR/SEK this summer”.
“However, last week’s positive CPI surprise ignited a repricing of the Riksbank and sent EUR/SEK lower”.
“The pair is now close to neutral in terms of our short-term financial models and in line with our one- to three-month target at 9.40. We see the pair within a 9.30-9.60 range for the next few months”.
Key Quotes
“The Riksbank’s rate cut and expanded QE programme in early July followed by downward pressure on energy prices and growing concerns about the global economic (thus inflation) outlook set the uptrend for EUR/SEK this summer”.
“However, last week’s positive CPI surprise ignited a repricing of the Riksbank and sent EUR/SEK lower”.
“The pair is now close to neutral in terms of our short-term financial models and in line with our one- to three-month target at 9.40. We see the pair within a 9.30-9.60 range for the next few months”.