VIEW: SEB: No Intermeeting Increase From The Riksbank At Present

SEB write “in recent times, discussions about an inter-meeting increase from the Riksbank have intensified, especially after yesterday's European inflation. Core inflation in Europe combined with hawkish comments from the ECB indicate that the ECB's interest rate peak is moving forward in time, which puts pressure on the Riksbank to act to avoid further weakening of the krona. The Riksbank also has fewer meetings than the ECB. Despite that, we do not believe in any mid-meeting increase at the moment. Such action would only signal panic on the Riksbank’s behalf. Don’t forget to listen to Radio Sweden’s Ekot interview with Riksbank Governor Erik Thedéen tomorrow!”