Federal Reserve official and Swedish banks signal further interest rate hikes

Dallas Federal Reserve President Lorie Logan stated that the US central bank needs to raise interest rates by at least another 0.5 percentage points to achieve a "slightly restrictive" monetary stance and return inflation to its 2% target.

Meanwhile, Swedish lenders have revised their interest rate forecasts for the Riksbank. Commercial bank Nordea brought forward its expectations for rate hikes, projecting the policy rate to reach 2.25% and remain there through 2028, citing strengthening Swedish economic growth and international rate trends. Additionally, state-owned lender SBAB anticipates the Riksbank will raise its policy rate in December followed by a second increase in February.

Sources: Dagens Industri, Svenska Dagbladet, Sydsvenskan.