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SEK lifted by Riksbank Governor’s Ingves – BBH

FXStreet (Barcelona) - The Brown Brothers Harriman Team mention that the positive tone of Riksbank Governor Ingves regarding inflation and economic developments helped the SEK to rise.

Key Quotes

“Switzerland reported a 0.6% expansion in Q4 GDP, twice what the consensus expectation. This illustrates another key point that is also seen in Sweden. Deflation can co-exist with an expanding economy.”

“Sweden’s growth numbers have surprised to the upside recently, leaving aside yesterday’s manufacturing PMI. The krona has been lifted today by comments from Riksbank Governor Ingves, who sounded optimistic, suggesting healthy economic developments and expectations for inflation to rise soon.”

“The euro was sold through SEK9.30 today for the first time since late-January, off of which the euro rallied though SEK9.68 by the middle of February.”

“Some Riksbank members, like Skinglsley, may become more concerned should further SEK strength materialize.”

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