The SEK continues to fall after Riksbank delays its tightening cycle to the end of this year
The high today eclipsed that of 13 April - the highest level for the year - and that saw the pair touch a level last seen back in December 2009.
While yes, Riksbank is still expected to move forward with raising rates. It is the nature of their communication today which is what is upsetting the market in my view. A lot of hope and optimism has been built up heading into the meeting, and the statement released by the Swedish central bank poured cold water on those expectations.
If anything, the message sent across errs more to the side of dovish because it sounds like the central bank is kicking the can down the road - and we all know how that usually turns out.
