Low Inflation Numbers In Sweden And Denmark Expected

Published 01/12/2015, 02:55 AM
Updated 05/14/2017, 06:45 AM

The main event in Sweden is the inflation numbers. We estimate December inflation in Sweden a tenth below the Riksbank estimate, both for CPI and CPIF, possibly with a slight downside risk. We expect CPI at -0.6% y/y and CPIF at 0.2% y/y.

The Swedish Debt Office will on Tuesday tap SEK1.75bn in both the SGB JUN-22 and the SGB DEC-25. We prefer the 10y bond given the outlook for a further flattening of the Swedish curve 5y10y.

In Norway, the calendar is empty and both the Norwegian Fixed Income and FX market are expected to continue trading in close tandem with oil prices.

In Denmark, we estimate inflation fell to -0.3% m/m and 0.2% y/y in December, from -0.2% m/m and 0.5% y/y in November.

For more on our 2015 strategic view for the Scandi markets see Scandi Strategy 2015: Converging growth, low for longer and carry, 2 December.

See also our new Nordic Outlook which presents Danske Bank's view on the economic outlook forthe Nordic countries.

Finally, see Fixed income Research: Funding plans for Nordic DMOs in 2015 published 19 December, in which we present the 2015 funding and issuance plans from the Nordic DMOs.

To Read the Entire Report Please Click on the pdf File Below

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