Menu

Search

  |   Commentary

Menu

  |   Commentary

Search

Danish Central Bank to issue government bonds before hiking rates

The Danish central bank has been buying close to DKK 80bn since the beginning of April as part of a long process of normalising monetary policy. 

The Danish central bank is expected to start issuing government bonds again before it hikes interest rates. This view is supported by the fact that the central bank in mid-March sharply raised the current account limits, thus reducing the financial sector's cost of the negative CD rate. 

"Against this background, the Danish central bank is not expected to sanction an isolated Danish deposit rate hike until towards the end of the year. The deposit rate is seen at -0.65% by end-2015 and -0.40% by end-2016, while the lending rate is expected to remain at 0.05% through end-2016", says Nordea Bank.

In line with German yields, Danish long-term yields have been rising massively since end-April. Short term, this high volatility is expected to somehow settle down, causing Danish yields to fall back. 

Further ahead, moderate increases can be seen across the entire curve, roughly in sync with Euro-area yields.

  • ET PRO
  • Market Data

Market-moving news and views, 24 hours a day >

2019-03-18 07:01:54
0m
2019-03-18 07:01:36
0m
2019-03-18 07:01:09
0m
2019-03-18 07:00:56
0m

March 19 07:00 UTC Released

CHTrade

Actual

3125 Mln CH

Forecast

Previous

3043 Mln CH

March 19 00:30 UTC Released

AUHome Price Index*

Actual

-2.4 %

Forecast

-2 %

Previous

-1.5 %

January 31 00:00 UTC 594585594585m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

January 31 00:00 UTC 594585594585m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

January 22 19:00 UTC 606405606405m

ARTrade Balance

Actual

Forecast

Previous

-1541 %

January 31 00:00 UTC 594585594585m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

January 22 19:00 UTC 606405606405m

ARTrade Balance

Actual

Forecast

Previous

-1541 %

January 31 00:00 UTC 594585594585m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

January 31 00:00 UTC 594585594585m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

January 31 00:00 UTC 594585594585m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

Close

Welcome to EconoTimes

Sign up for daily updates for the most important
stories unfolding in the global economy.