FxWirePro: Swedish Krona eases to 2-1/2 month trough on downbeat economic data
Friday, September 25, 2020 10:26 AM UTC
- The Swedish Krona slumped, drifting closer to a 2-1/2 month low recorded in the prior session following the release of downbeat economic data.
- Sweden's producer prices declined 4.6 percent year-on-year in August, following a 4.9 percent fall in July, marking its eightth straight month of drop.
- On a monthly basis, cost fell 0.2 percent as a stronger Swedish krona led to price declines in the export and the import market.
- The bid tone around the Swedish currency weakned further as the greenback surged across the board.
- The dollar was on track for it best week since early April as the outlook for the global economic recovery darkened with a second wave of COVID-19 cases in Europe.
- USD/SEK trades 0.6 percent higher at 9.1394, having hit a high of 9.1486 on Thursday, its highest since July 14.
- Immediate resistance is located at 9.1591, any close above could take it near 9.1762.
- On the lower side, support is seen at 9.0663, break below could take it till 9.0323.