Market Information Friday 25 November 2022

Sweden’s central bank, the Riksbank, raised interest rates by 75 basis points from 1.75 to 2.50% on Thursday. Inflation is still far too high and the risk of that high inflation becoming entrenched is still substantial, according to the Riksbank. The Riksbank foresees an economic contraction of 1.2% next year, where previously a contraction of 0.7% had been forecast.

The Tokyo core consumer price index was 3.6% higher in November than a year earlier, government data showed on Friday. The rise exceeded a median market forecast of 3.5% and the 3.4% increase seen in October. While the rise was driven mostly by electricity bills and food prices, companies were also charging more for durable goods as the weak yen pushed up the cost of imports, the data showed.

The Turkish central bank announced on Thursday that it would cut the policy rate again by 150 basis points, from 10.5 to 9.0%, and announced that this would be the last of the rate cuts in this cycle for the time being. Taking into account increasing risks to global demand, the Turkish central bank assessed that the current policy rate is appropriate. A recession is increasingly seen as an inevitable risk factor, the central bank stated.

The 6M Euribor increased with 2 basis points to 2.36% compared to previous business day. The 10Y Swap decreased with 8 basis points to 2.57% compared to previous business day.

In the attachment, today’s market data on money and capital market rates as well as other rates are presented.