Krona At Two-Year Record On Outlook For Monetary Tightening

The Swedish krona rose today to the highest level in two years versus the US dollar on the speculation that the central bank would perform its monetary tightening plans and as the economic data was favorable.

The Riksbank said it would increase the benchmark repo rate more than 2 percentage points over the next two years to about 3 percent. The reports showed that the manufacturing expanded for the 16th straight month, while the consumer and business confidence was at its highest level in the decade.

USD/SEK wend down from 6.7360 to 6.7095 as of 10:24 GMT today, following the drop to 6.6746, the lowest level since September 2008.

If you want to comment on the Swedish krona’s recent action or have any questions regarding this currency, please, feel free to reply below.