Forex: EUR/SEK in session highs, eyes 8.6500
Forex pairs in this Article »
EUR/SEK
FXstreet.com (Barcelona) - Softer-than-expected data out of Sweden has weakened the krona during this morning, pushing the cross more than seven figures from the area around 8.5700 to the actual highs close to 8.6500
In fact, consumer confidence in the Swedish economy has deepened further to -7.4 in November from -2.9 in the previous month. In the same direction, producer prices have contracted 0.7% on a monthly basis in October, matching September's print. Trade surplus has widened however, reaching SEK 8.0 billion in October from SEK 7.5 billion.
According to Erica Blomgrem, FI Strategist at SEB, the recent data bode well for another rate cut by the Riksbank in its next December meeting. She now expects markets to discount another cut by more than 75%.
The pair is now advancing 0.83% at 8.6459 facing the next hurdle at 8.6930 (Upper Bollinger) ahead of 8.7520 (high Jul.4) and 8.7746 (high Jul.2).
On the flip side, a breakdown of 8.5707 (61.8% of 8.50-8.6850) would open the door to 8.5305 (Lower Bollinger) and 8.5000 (low Nov.8).
In fact, consumer confidence in the Swedish economy has deepened further to -7.4 in November from -2.9 in the previous month. In the same direction, producer prices have contracted 0.7% on a monthly basis in October, matching September's print. Trade surplus has widened however, reaching SEK 8.0 billion in October from SEK 7.5 billion.
According to Erica Blomgrem, FI Strategist at SEB, the recent data bode well for another rate cut by the Riksbank in its next December meeting. She now expects markets to discount another cut by more than 75%.
The pair is now advancing 0.83% at 8.6459 facing the next hurdle at 8.6930 (Upper Bollinger) ahead of 8.7520 (high Jul.4) and 8.7746 (high Jul.2).
On the flip side, a breakdown of 8.5707 (61.8% of 8.50-8.6850) would open the door to 8.5305 (Lower Bollinger) and 8.5000 (low Nov.8).
Free Annual Reports
