• SEK depreciates to the lowest level since late 2009.
• Swedish inflation figures came in below expectation in March.
• ECB minutes next of relevance in the euro area.

The selling pressure around the Swedish Krona has intensified today and is now pushing EUR/SEK to trade in multi-year tops in the boundaries of the 10.3800 milestone.

EUR/SEK higher post-data

SEK gained extra downside traction today after inflation figures tracked by the CPI rose at a monthly 0.3% and 1.9% on a year to March, both prints missing prior surveys.

In addition, CPIF (CPI at constant interest rates) rose at a monthly 0.3% and 2.9% over the last twelve months, also missing initial estimates.

The Krona remains under heavy pressure during the first half of the year, plummeting to fresh lows in the 10.38 neighbourhood earlier in the session, levels last seen in December 2009. The dovish stance from the Riksbank, rising household debt and absence of traction in domestic inflation all converge to keep the negative outlook on the Scandinavian currency for the next months at least.

EUR/SEK levels to consider

As of writing the cross is gaining 0.71% at 10.3692 facing the next hurdle at 10.3785 (2018 high Apr.12) seconded by 10.5287 (monthly high Dec.2009) and finally 10.5470 (monthly high Nov.2009). On the other hand, a breach of 10.3051 (10-day sma) would expose 10.2503 (low Apr.10) and then 10.2253 (21-day sma).