Riksbank maintains its Rate at 4.00% as expected; increases monthly bond sale programme to SEK 6.5bln (prev. 5bln; vs SEB exp 7-8bln); Rate can probably be cut sooner than was indicated in November forecast - H1 rate cut cannot be ruled out

ASSESSMENT

• Executive Board now assesses that there is less risk of inflation becoming entrenched at levels that are too high.
• Maintains assessment that contractionary monetary policy is still needed to stabilise inflation close to the target.

INFLATION

• In November and December, inflation continued to fall, and when measured in terms of the CPIF excluding energy, it was lower than expected. Indicators point to inflationary pressures continuing to decline going forward.

POLICY

• Monetary policy needs to be adapted cautiously to ensure that inflation is stabilised sustainably close to the target.
• New information and how it is assessed to affect the prospects for the economic outlook and inflation is decisive in determining the monetary policy stance.

Via Riksbank