Sweden
In a widely expected move, the Riksbank lowered its policy rate from 3.75% to 3.5% in August. It had kept rates on hold in June, after having led many other major DM central banks in easing policy in May. The Riksbank also signaled it could cut as many as…
Sweden’s manufacturing PMI started contracting in July, plummeting from 53 to 49.2, falling far short of expectations that growth would broaden. Weakness was broad-based. Notably, new orders and new export orders plunged a whopping 15.1 and 8.7 points in…
Preliminary estimates suggests that the Swedish economy unexpectedly contracted in Q2. The seasonally adjusted GDP Indicator declined by 0.8% q/q, following a 0.7% Q1 rise in actual GDP growth. Flash estimates lack details and are prone to revisions.…
At first glance, France has moved to the far left. However, this coalition is fragile, and Macron’s allies still hold the balance of power. What are the assets that will benefit from this new political setup, and those that will not?
Sweden is a small export-oriented economy and its high sensitivity to global trade makes it a good bellwether of global growth developments. The headwinds from high borrowing costs are relatively more pronounced in Sweden where a large share of households…
The ECB is now firmly in easing mode, even if it refuses to pre-commit to a specific rate path. What does this data dependency mean for the euro and European yields?
In a widely expected move, the Riksbank cut its policy rate by 25 basis points on Wednesday from 4% to 3.75%. The policy statement highlighted that inflation is approaching its 2% target, that leading indicators are pointing to further downside in prices and…
Headline inflation in Sweden came in at 4.1% in March. Lower food prices as well as lower inflation for recreation and culture were the main contributors to the drop. The biggest positive contributor was housing due to higher mortgage costs. The CPIF…
As a small open economy, Sweden’s economic performance is a good barometer of global growth developments. Swedish PMIs for March were overall positive. The Manufacturing PMI rose to the 50 boom-bust line following 19 consecutive months of contraction and…
The Swedish krona was among the weakest G10 currencies on Wednesday following the Riksbank meeting. Although the central bank kept the benchmark rate unchanged as expected, the post-meeting communication was on the dovish side. The press release noted that…