Nordea: Weighing up an interest rate cut

If the Swedish Central Bank were to lower the policy rate, the fixed two-year interest rate is estimated to fall by 0.10 to 0.15 percentage points.

"On paper, it is still advantageous to choose a 3-month variable interest rate," writes the major bank.

The central bank writes in its forecast that it is primarily temporary factors, such as a cut in food VAT and a stronger krona, that are causing inflation to be low this year. The central bank writes that this is still putting pressure on the Swedish Central Bank.

"An inflation rate as low as 0.5 percent increases the pressure on the Swedish Central Bank to lower the policy rate once again this spring, regardless of the reason," the forecast states.