Swedish krona plummets to new record low against the euro
Sweden’s currency fell to a new historic low, with one euro costing 12 kronor during early-afternoon trading.
One euro cost 12 kronor – or 11.9954 kronor to be more exact – at 1.51pm on Monday.
That’s a new low, breaking the previous record of 11.96 kronor on August 21st.
The krona has lost around seven percent of its value against the euro so far this year – or 40 percent in the past decade – giving new fuel to the debate on whether or not Sweden should join the euro.
It is however expected to rebound slightly next year once the US central bank lowers its interest rate, which should improve the standing of the krona according to SEB’s chief economist Jens Magnusson, speaking to Swedish news agency TT.
The krona has also fallen against the US dollar. One dollar on Monday afternoon cost 11.24 kronor – the weakest point yet this year, but better than the low of 11.50 kronor from a year ago.
Sweden’s central bank, the Riksbank, is widely expected to raise the country’s so-called policy rate from 3.75 percent to 4 percent on Thursday, in order to prevent the krona from depreciating further.
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One euro cost 12 kronor – or 11.9954 kronor to be more exact – at 1.51pm on Monday.
That’s a new low, breaking the previous record of 11.96 kronor on August 21st.
The krona has lost around seven percent of its value against the euro so far this year – or 40 percent in the past decade – giving new fuel to the debate on whether or not Sweden should join the euro.
It is however expected to rebound slightly next year once the US central bank lowers its interest rate, which should improve the standing of the krona according to SEB’s chief economist Jens Magnusson, speaking to Swedish news agency TT.
The krona has also fallen against the US dollar. One dollar on Monday afternoon cost 11.24 kronor – the weakest point yet this year, but better than the low of 11.50 kronor from a year ago.
Sweden’s central bank, the Riksbank, is widely expected to raise the country’s so-called policy rate from 3.75 percent to 4 percent on Thursday, in order to prevent the krona from depreciating further.
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