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RIKSBANK: VIEW: Nordea See Riksbank Policy Rate At 2.00% By The End Of 2025

RIKSBANK

Nordea now forecast two additional Riksbank cuts in 2025, bringing the policy rate to 2.00% by the end of next year (vs 2.50% prior).

  • The main reason for the revised forecast is lower global interest rates over the past months. In addition, inflation is low in Sweden and the labour market situation is deteriorating”.
  • “We continue to see 25bp rate cuts at all remaining meetings this year and an additional rate cut in early 2025, bringing the policy rate to 2.75% year-end 2024 and 2.50% in early 2025”.
  • They expect two additional 25bp rate cuts in Q2 and Q3 2025, and the policy rate to stay on hold at 2.00% through 2026.

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