Riksbank set to postpone rate hike to next year – Danske Bank

Analysts at Danske Bank point out that Sweden's big week kicks off today as the Riksbank convenes and the Swedish central bank will announce its rate decision at 09:30 CEST.

Key Quotes

“We expect the central bank to postpone its first rate hike in seven years yet again. This would be accomplished by lowering the probability of a rate hike in Q4 and hence effectively postponing the hike to next year.”

“We acknowledge that it is a close call, however, as the central bank is divided.”

“The other major event for Sweden is the general election on Sunday, where we expect a minority government outcome led by Ulf Kristersson and the Moderates.”