Improved outlook for krona

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Sterling is likely to be the hardest hit, as the pendulum swings in favour of a Bank of England rate cut. Overall dollar strength will limit a dollar sell-off versus the krona.

Interest rate differentials have been the key market theme in recent months, helping to drive the dollar higher against many currencies, including the Swedish krona. The same factors have propelled the euro, sterling and Norwegian krona higher against the stokkie. Indeed, the Riksbank's repo rate, at 1.5% versus the

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