An uptick expected in Swedish industrial and Services Production

The SEK remained well supported last week despite softer-than-expected Manufacturing PMI data, which nonetheless continue to set Sweden apart relative to its European peers. For this week, market participants expect an uptick in Industrial and Services Production (both Monday) by 1.5% m/m and 0.6% m/m respectively. 

Moreover, data on real household consumption (Wednesday) will also come in focus providing insights into the overall performance of the Swedish consumer, a modest rebound is expected on the month. 

"We continue to highlight Sweden's economic outperformance and forecast modest EURSEK depreciation in the coming quarters, as the inflation uptrend continues and the Riksbank becomes more comfortable with contemplating some SEK strength - we believe this change in stance has already begun", notes Barclays.