SWEDEN: Andersson Preferred PM, But Right-Wing Sweden Democrats Still Gaining

Aug-26 08:29

Opinion polling ahead of the 11 September general election shows incumbent Prime Minister Magdalena Andersson as the preferred candidate to serve as head of the next gov't, running ahead of centre-right Moderate Party leader Ulf Kristersson.

  • Demoskop poll: Preferred Prime Minister: Andersson (Social Democrats): 46%, Kristersson (Moderates): 38% (-2), Neither: 15% (+2), +/- vs. 14-27 June 2022, Fieldwork: 16-21 August 2022, Sample size: 3,001
  • In overall party opinion polling, the right-wing populist Sweden Democrats continue to make small gains in support, with Jimmie Akesson's party leading the Moderates in 11 of the last 12 opinion polls carried out.
  • Kristersson has previously denied that the Sweden Democrats will form part of the next gov't while still leaving the door open to a confidence and supply agreement. However, should the Sweden Democrats emerge as the largest party in opposition to Andersson's Social Democrats, and the parties of the right have an overall majority in the Riksdag, it could prove difficult to deny the right-wingers Cabinet positions.
Chart 1. Sweden General Election Opinion Polling, % and 6-Poll Moving Average

Source: SKOP, Sifo, Novus, Demoskop, Sentio, Ipsos, MNI

Historical bullets

BONDS: Some cumulative buying going through

Jul-27 08:22
  • Some cumulative lift in Treasuries, potentially some short term short cover.
  • TYA bought in 3k and FVA in 2.5k.
  • TYU2 is still very short of yesterday's high, and small resistance moves down to 120.00+.

Also more blocks goes through:.

  • FVU2 4.5k at 112.2825.
  • FVU2 6k at 112.30.
  • Bobl: OEU2 5k at 127.08

US TSY FUTURES: Block trades

Jul-27 08:11
  • FVU2 4.5k at 112.26+
  • TYU2 2.5k at 119.24+

BUNDS: Block trades

Jul-27 08:10
  • OEU2 5k at 126.99
  • DUU2 5.7k at 109.85