NOK, SEK and the ECB – Danske Bank

Senior Analyst at Danske Bank Morten Helt gives his view on the past ECB meeting and the Scandinavian currencies.

Key Quotes

“Riksbank monetary policy has been more closely connected to ECB policy than that of Norges Bank”.

“Unlike in Sweden, the Phillips curve is alive and kicking in Norway and with the Regional Network Survey showing rising capacity utilisation on Tuesday, the ECB message yesterday is no hindrance for a Norges Bank September hike”.

“In other words, the ECB message is clearly more negative for EUR/NOK than EUR/SEK and therefore good for NOK/SEK bulls”.