BUZZ-COMMENT-Sweden's Riksbank could surprise the market

Reuters09-09

Sept 9 (Reuters) - A half-point interest rate cut shouldn’t be ruled out when the Riksbank holds its next policy meeting on Sept 24-25.

Swedish inflation is low, core prices rose 1.7% in July - below the 2.0% Riksbank target, and a further drop in CPIF is expected when August inflation data is released later this week. A Reuters poll consensus is for annual CPIF to hit 1.3% in August while the central bank estimate is for an unchanged 1.7% return.

A warm August brought negative electricity prices within the Nord Pool, a leading power market in Europe. Combined with lower fuel prices the electricity price drop is likely to lower CPIF by around 0.2%.

The flip side to the good inflation news is a deteriorating labour market and fragile economic growth.

The Riksbank is expected to cut three more times this year, taking its key interest rate to 2.75%. With EUR/SEK beginning to trend higher, a 25-basis point rate cut this month might be the safe bet but there is an outside chance of a 50-basis point drop followed by two further 25-basis points cuts before the year is out. For more click on

<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ EUR/SEK daily Ichimoku chart: Sweden CPIF inflation chart:

^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>

(Peter Stoneham is a Reuters market analyst. The views expressed are his own)

((peter.stoneham@thomsonreuters.com))

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A Reuters poll consensus is for annual CPIF to hit 1.3% in August while the central bank estimate is for an unchanged 1.7% return. </p><p>   A warm August brought negative electricity prices within the Nord Pool, a leading power market in Europe. Combined with lower fuel prices the electricity price drop is likely to lower CPIF by around 0.2%. </p><p>   The flip side to the good inflation news is a deteriorating labour market and fragile economic growth.</p><p>   The Riksbank is expected to cut three more times this year, taking its key interest rate to 2.75%. With EUR/SEK beginning to trend higher, a 25-basis point rate cut this month might be the safe bet but there is an outside chance of a 50-basis point drop followed by two further 25-basis points cuts before the year is out.   For more click on   </p><p>    &lt;^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ EUR/SEK daily Ichimoku chart:      Sweden CPIF inflation chart:     </p><p>   ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^&gt;</p><p>(Peter Stoneham is a Reuters market analyst. 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Swedish inflation is low, core prices rose 1.7% in July - ...</p>\n\n<a href=\"https://api.rkd.refinitiv.com/api/News/News.svc/REST/News_1/RetrieveStoryML_1\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BUZZ","symbol_name":"VanEck Social Sentiment ETF","start_time":0,"source_url":"https://api.rkd.refinitiv.com/api/News/News.svc/REST/News_1/RetrieveStoryML_1","article_id":"2466152186","we_media_id":"1036604489","thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2466152186","pubTimestamp":1725876279,"sourceInfo":null,"weMediaInfo":{"media_name":"Reuters","introduction":"Reuters.com brings you the latest news from around the world, covering breaking news in markets, business, politics, entertainment and technology","home_visible":1,"id":"1036604489","head_image":"https://static.tigerbbs.com/443ce19704621c837795676028cec868"},"summary":"Sept 9 (Reuters) - A half-point interest rate cut shouldn’t be ruled out when the Riksbank holds its next policy meeting on Sept 24-25.   Swedish inflation is low, core prices rose 1.7% in July - belo","collect":0,"end_time":0,"defaultTopTitle":"","property":[],"viewcount":null,"language":"en","relate_stocks":{"BUZZ":"VanEck Social Sentiment ETF","FXE":"欧元做多ETF-CurrencyShares","EUO":"欧元ETF-ProShares两倍做空"},"translate_title":"热门评论-瑞典央行可能会让市场感到惊讶","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"BUZZ":1,"EURmain":0.9,"EUO":0.6,"MEURmain":0.6,"FXE":0.6},"content_text":"Sept 9 (Reuters) - A half-point interest rate cut shouldn’t be ruled out when the Riksbank holds its next policy meeting on Sept 24-25.   Swedish inflation is low, core prices rose 1.7% in July - below the 2.0% Riksbank target, and a further drop in CPIF is expected when August inflation data is released later this week. A Reuters poll consensus is for annual CPIF to hit 1.3% in August while the central bank estimate is for an unchanged 1.7% return.    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