Jochnick (Riksbank) about the economic outlook


Governor af Jochnick speaks to reporters:

  • Inflation is rising
  • Economy developing well
  • Monetary Policy needs to be expansionary
  • Riksbank can make policy more expansionary if needed
  • Recent data indicates the economy is doing better
  • Weaker Krona contributing to inflation
  • Rapid strengtening of SEK would be risk to inflation
  • Riksbank can lower repo rate furhter and buy more bonds if needed

SEK slightly gains after her speech. However, it is worth noticing that Jochnick mentioned strengtening SEK as a threat to inflation. If SEK appreciates, more easing is likely.