FXStreet (Edinburgh) – The Swedish krona is now reversed the initial weakness vs. the euro, dragging EUR/SEK to lows near 9.3300.

EUR/SEK weaker on Swedish data

The krona gained further traction after auspicious results from the domestic industrial sector, with Industrial Production expanding at a monthly pace of 2.0% and 1.5% on a year to April, both prints surpassing both estimates and previous readings.

In addition, critical inflation expectations tracked by TNS SIfo Prospera showed that market participants now expect consumer prices to rise 0.7% in a year’s time, 1.1% in 2-y and 1.8% in 5-y, while the wage increase is seen at 2.0%, 2.2% and 2.5%, respectively.

EUR/SEK key levels

The cross is now retreating 0.21% at 9.3334 and a drop below 9.3200 (21-d MA) would expose 9.3145 (200-d MA). On the upside, the initial resistance lines up at 9.3877 (high Jun.9) ahead of 9.350 (high Jun.5) and finally 9.4235 (high Jun.2).

The Swedish krona is now reversed the initial weakness vs. the euro, dragging EUR/SEK to lows near 9.3300…

(Market News Provided by FXstreet)

By FXOpen