EUR/SEK: Fundamentally bearish – Danske Bank

EUR/SEK has been edging lower over the last couple of weeks with support from the turnaround in equities, per Danske Bank. The pair is sitting at 10.8717.

Key quotes

“We have noted that SEK buying has been especially prevalent during European sessions, despite poor Swedish macro.” 

“While this week’s labour market (Mon, Tue) and confidence (Thu) data should be headwinds for the krona, whether the cross resumes to 11.00 or a break below the 10.83 support area is very much dependent on the direction in equity markets.”

“With the Riksbank meeting looming, we stay fundamentally bearish on the krona.”