Nomura's Global Markets Research report discusses the Riksbank's decision to hold the policy rate at 1.75%. The report indicates increased uncertainty over the economic outlook and forecasts that the Riksbank will keep the rate unchanged throughout 2026, with a potential cut due to a stronger currency and slower inflation.

Riksbank's outlook and policy rate guidance

"The press release repeated the guidance that has been in place since September that the policy rate “is expected to remain at this level for some time to come”."

"However, the stronger currency, recent downside inflation surprises and slower Q4 GDP growth raise the probability of a policy rate cut."

"Overall, we forecast an unchanged policy rate from the Riksbank for the remainder of 2026."

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)