Swedish Riksbank

Unorthodox Appointments, Service Sector PMIs, and an Early Market Close in the United States

July 3, 2019

The dollar recorded scant net change Wednesday aside from 0.6% declines against the Australian and New Zealand dollars. Share prices fell 1.1% in China and 0.5% in Japan but were buoyed  in Europe and the United States by some unexpected key appointments that investors are perceiving as a harbinger of more forceful easy money policies. […] More

Stronger Dollar, Weaker Stocks, and Four Central Bank Meetings

April 25, 2019

The dollar advanced overnight by 0.4% against the yuan and peso, 0.3% relative to the euro, 0.2% versus the Swiss franc, sterling and Australian dollar, and 0.1% vis-a-vis the loonie. One currency against which the dollar fell was the yen, which climbed 0.3%. Share prices dived 2.4% in China to a 3-week low on continuing […] More

Swedish Riksbank

February 13, 2019

Swedish Riksbank has not had a positive repo rate since a 25 basis point cut to zero percent in October 2014. That had been followed by additional reductions of 10 basis points in February 2015 and July 2015 and of 15 bps each in March 2015 and February 2016. But at this past December’s review, […] More

Policies Driving Currency Markets as More Evidence Emerges of Slower Global Growth

February 13, 2019

Industrial Production in the euro area fell 0.9% in December, more than double the expected slide after a 1.7% drop recorded in November. This resulted in a 4.2% 12-month rate of decline, the biggest on-year contraction since November of 20o9. December output among the common currency bloc’s five largest economies fell from end-2017 levels by […] More

First Swedish Monetary Policy Rate Hike since 2011

December 20, 2018

The Swedish Riksbank Executive Board raised its repo rate from -0.50% to -0.25%, marking the first rate hike since July 2011 and the first change since a 15-basis point cut in February 2016. The rate has been zero percent or lower since October 2014. A statement from the Board doesn’t anticipate another rate hike until […] More

Softer Dollar on the First Day After the Fed’s Rate Hike

December 20, 2018

Markets did not take comfort from Wednesday’s FOMC interest rate hike or the upbeat economic prognosis of Chairman Powell. The dollar fell overnight by 0.6% against the euro, 0.5% relative to the yen and  Swiss franc, 0.4% vis-a-vis sterling, 0.3% versus the Australian dollar, and 0.2% against the yuan and loonie. Share prices fared poorly […] More

European Equities Helped by Softer Euro

October 24, 2018

European equities have partly recovered today in spite of disappointing Euroland, German and French preliminary purchasing manager survey findings for October. One support for European share prices may be the strengthening dollar, which is trading 0.6% higher against the euro and sterling as well as 0.3% up on the Swiss franc. President Trump expressed some […] More

Swedish Riksbank

July 3, 2018

Sweden’s repo rate was kept at negative 0.50%, and a new statement from the Executive Committee did not change previous forward guidance that a gradually rising trend is likely to begin late this year. One dissenting committee member wanted a 25-basis point hike now, and another favored saying such would occur in September or October. Projected […] More

Swedish Riksbank Monetary Policy Left as It Was

April 26, 2018

The Swedish central bank repo rate has been at negative 0.50% since a 15-basis point reduction in February 2016. By that time, the rate had been negative for a whole year, and it has been non-positive since a 25-basis point cut to zero percent in October 2014. The vote by the Riksbank Executive Board to […] More

Modest Market Retrenchment Ahead of ECB Announcement

April 26, 2018

The ECB Governing Council is holding a policy review to be followed by Draghi’s press conference. The Bank of Japan Board began a two-day meeting whose results will be revealed Friday. The BOJ also releases a quarterly Outlook for Economic Activity and Prices tomorrow, which will update its macroeconomic forecasts. After meetings with U.S. President […] More

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