Sweden's Riksbank, the world's oldest central bank, left monetary policy unchanged on Tuesday, stating that the combination of record low interest rates and an asset purchase program will be enough to push persistently low inflation towards the desired 2.00% target. The Swedish Central Bank indicated that the main interest rate and repo rate will remain unchanged at -0.35% where it has stood since July. The Bank left its sovereign bond buying target at 200 billion Swedish Krona up until the end of June 2016. Furthermore, the Riksbank is prepared to expand monetary policy accommodation even further in order for the country to achieve its inflation target according to policymakers. The Swedish Krona has strengthened versus the Euro, with the EURSEK pair falling 9.26 from a high 9.36 kronor following the Central Bank announcement.
Daily Analysis - 16/12/2015