Birthplace of Negative Rates Nears End of the Road for Stimulus
- 3 of 6 board members entered reservation against Riksbank QE
- Swedish central bank now seen done with adding more stimulus
The headquarters of the Swedish Central Bank in Stockholm, Sweden.
Photographer: Casper Hedberg/BloombergThis article is for subscribers only.
The region that gave birth to negative interest rates is signaling that monetary policy has reached the end of the line.
The Swedish central bank on Wednesday extended its quantitative easing program into next year, while keeping its benchmark rate at a record low of minus 0.5 percent. But it wasn’t a gimme. Governor Stefan Ingves had to use his tie-breaking vote push through the expanded asset purchases, quelling a revolt on the six-member board.