The Riksbank left its key policy rate unchanged at 2.25%, as expected, and tweaked its guidance in a marginally more dovish direction.
The Riksbank Executive Board stated that it was "somwhat more probable" that inflation would be lower rather than higher than predicted in the previous quarterly forecast round in March and that "this could
suggest a slight easing of monetary policy going forward." (see MNI RIKSBANK WATCH: Seen On Hold, Eyes On Future Easing )
The March rate path showed 2.25% as the trough with the rate near flat-lining throughout the three year forecast but many analysts now expect further easing ahead and the Swedish central bank has edged in that direction. There was no new forecast round for the May meeting, The RIksbank took the view that the higher inflation in 2025 would be temporary and lower inflation ahead reflected the weaker economic outlook.