We now expect Danmarks Nationalbank to remain on hold the coming year.
This will leave the rate on certificates of deposits at the current -0.10% in 12M.
We forecast the EUR/DKK at 7.47, 7.46 and 7.46 in 3M, 6M and 12M respectively.
In contrast to our view of unchanged policy rates, the market is currently pricing in a 25bp increase in the rate on certificates of deposits on a 12M horizon.
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