The Swedish krona weakened against the U.S. dollar in the early European session on Thursday after Sweden's central bank cut its key interest rate unexpectedly to negative zone.

The Executive Board of Riksbank decided to cut the repo rate by 0.10 percentage point to -0.10 percent. The bank will also buy government bonds with maturities of 1-5 years for the sum of SEK 10 billion.

Against the U.S. dollar, the krona fell to 8.5541 for the first time since April 2009 from an early high of 8.3474. At yesterday's close, the krona was trading at 8.3664 against the greenback.

If the krona extends its downtrend, it is likely to find support around the 8.85 area

US Dollar vs SEK (FX:USDSEK)
Forex Chart
From Mar 2024 to Apr 2024 Click Here for more US Dollar vs SEK Charts.
US Dollar vs SEK (FX:USDSEK)
Forex Chart
From Apr 2023 to Apr 2024 Click Here for more US Dollar vs SEK Charts.