EUR/SEK seen at 9.40 in the near-term – Danske Bank

FXStreet (Edinburgh) -Senior Analyst Stefan Mellin at Danske Bank expects the krona to depreciate towards the 9.40 vs. the euro in a 1-month view.

Key Quotes

“EUR/SEK is in the hands of central banks”.

“We expect the pair to continue trading within a broad range of 9.00-9.60 for the next couple of months”.

“While gravity (fundamentals) unambiguously suggests that the krona will appreciate over time versus the EUR, we think the pair will stay elevated for longer given the fact that the Riksbank wants it that way”.

“We lift our 1M EUR/SEK forecast to 9.40 from 9.30 (see above), targeting a weaker krona in the next few months and a rebound over the 12M horizon”.

Senior Analyst Stefan Mellin at Danske Bank expects the krona to depreciate towards the 9.40 vs. the euro in a 1-month view…

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