The Riksbank Nordea expects the repo rate in September – Dagens Industri

The National Bank: Nordea expects the repo rate in September

                  2015-07-02 13:37
             

 (SIX) Nordea has today revised its forecast for the repo rate, by  today's soft response from the Riksbank. The forecast now is that the repo rate  lowered by a further ten points to -0.45 percent already in  September. It is clear from a recent analysis.       Earlier, Nordea anticipated that the Riksbank would lower  the repo rate to 0.40 percent in September.       Given that the forecast change is marginal causes  no changes to the forecasts for the crown, according to the bank.       "The reason we expect further easing from  The Riksbank is that we continue to believe that the Bank's inflation forecast is  slightly on the high side. Moreover indicates bank's interest rate path 60 percent  probability of a further rate cut by ten points in the year,  which is really a strong signal. Development of the krona continues to  be crucial for monetary policy going forward. At the press conference  Mr Ingves stressed the importance that the Crown is not  reinforced faster than  forecast, "writes Nordea's chief analyst Andreas Wallström.       Nordea expects the repo rate remains at -0.45 percent  mid-2016 and that it subsequently raised to 0.00 percent  end in 2016.       The EUR / USD is expected to fall to 9.10 by the end of 2015 and is expected to  then continue to decline to 8.90 at year-end in 2016.       USD / SEK is expected to rise to 8.67 by the end of 2015 and is expected to  continue up to 8.90 in late in 2016.       At this writing, the EUR / USD to about 9.35, and the USD / EUR  traded at around 8.44.      Erik Palmung +46 31 350 64 86  mailto: erik.palmung@six-group.se  www.blogg.six.seSIXNews  SIX News