Little upside potential for the SEK in the short term – Commerzbank

FXStreet Insights Team FXStreet

The Riksbank still appears to the market to be too hesitant in the fight against inflation. Therefore, economists at Commerzbank expect the Krona to struggle.

No more upside potential for the time being

Although the Riksbank raised the key interest rate again in September, it is not acting decisively enough against inflation risks for the market. Therefore, the SEK will probably not have much upside potential this year.

Only next year, when the tide turns in favour of the Riksbank, should the Krona appreciate again.

Source: Commerzbank Research

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FXStreet Insights Team

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The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

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