Riksbank Sees Scope for Three Interest Rate Cuts With Inflation Near Target
- Governor Thedeen says three cuts in 2024 more likely than two
- Strategist calls message from meeting minutes ‘fairly dovish’
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Riksbank officials signaled they may opt for quicker easing than earlier forecast as they expect that inflation will continue to subside even as interest rates come down.
“My assessment is that we now have an inflation largely in line with the target,” Governor Erik Thedeen said in minutes from the central bank’s meeting last week. “It is somewhat more probable that we will cut the policy rate three times, than twice, during the second half of the year.”