• Sweden edition
 

Swedish krona the new 'safe haven': prediction

Published: 18 Dec 2011 12:51 GMT+01:00
Updated: 18 Dec 2011 12:51 GMT+01:00

The Danish investment bank has been reading the cards and gazing into their crystal ball, and have now released their 10 outrageous predictions for 2012.

Among probable and improbable suggestions such as a doubled price on wheat, an unknown outsider taking the White House and Apple stocks crashing, the bank predicts that the Norwegian and Swedish currencies will replace the Swiss franc as a safe haven in a debt-riddled Europe, thereby strengthening the Swedish krona.

"This is one of the predictions I really think could happen. It's built on Switzerland's probable success in defending itself and achieving a weaker Swiss franc," said the bank's head economist Steen Jacobsen to financial newspaper Dagens Industri.

"This means that the capital which has previously been flooding into Switzerland will be looking for new safe havens."

Saxo Bank's other sombre predictions include an Australian recession and a deepened European bank crisis, forcing banks to close for an extended holiday.

The bank's crystal ball also reveals that Apple may be in for a nasty shock during 2012, predicting that the tech company's stocks will plummet by 50 percent.

"Historically it's clear that no company has succeeded in retaining a market share like the one Apple has today," said Steen Jakobsen.

Clara Guibourg (clarabara@hotmail.com)

Your comments about this article

20:20 December 18, 2011 by Abe L
That would be excellent news!
21:29 December 18, 2011 by canuk
its good and bad..good if you live and work here...bad if you are a tourist and tourism is a huge industry for sweden.
21:40 December 18, 2011 by cattie
Danish investment bank? Aren't investment banks the one's with the 6 pages of small print "disclosure" statements that they are not responsible if their predictions are wrong. So, that is a prediction. Some people are also predicting a decline in housing prices in Stockholm and a rising unemployment rate. Predictions are the easiest way to write a press release.
01:29 December 19, 2011 by swenrika
That menas -

1. Stranger Krona

2. Weaker Euro

= cheaper beer imports :)
02:32 December 19, 2011 by MikeSar
Like the old, well-paid, sage said once, or twice, and is still saying "Where's the news in THAT?" If the question is safety, the Swiss have it but, if you want both Safety and Profits, that's whole different matter, a whole different color cattle!

It is not because the long hard winters, year after year, made people learn how to get along, work and survive together without the idea of screw'em! That was turned into a religious principle in Wall Street, preached by Reverend Ayn Rand and followed for 40 years by the most financially powerful man in US Gov't,

The secret is simple and known in Scandinavia and Switzerland, all with very long and cold winters. Can you imagine how they survived without electricity or oil? Yes, they had to go out and cut wood, and plan on the next day, week, month, etc. They had to learn to be trustworthy and trust over centuries.

People want Swiss Security and Celtic reliability. Next: Scandinavian ingenuity.
05:43 December 19, 2011 by crunchy2k
I would stay with the Swiss franc. A nation is only as strong as its courts. The Swedish judiciary has shown it is easily corrupted by outside influences...like the pirates bay fiasco and the Julian Assange charges. America's MPAA and Riaa wined and dined the Swedish judiciary under the cover of education seminars before attacking the pirates bay people. And Poor Julian was seen as innocent by the police and one prosecutor, but the American CIA found an errant female Swedish prosecutor to press charges.
08:02 December 19, 2011 by viennacalling
the swiss central bank is trying to reduce the value of the swiss franc by buying huge amounts of US Dollars, but over the last 2 years the currency most converted to the swiss franc is the Euro

I know that the swiss central bank have made a mistake by not correcting with the euro sooner, I don't think the Swedish central bank will make the same mistake as the Swiss
09:39 December 19, 2011 by byke
I spoke to a swede about this story yesterday and the proudly announced this article which appeared in one of the large daily newspapers the other day. I hadn't read the article at the time so I could comment, but having listened to a secondhand rendition of. The story I had my doubts.

Now after reading the story, my doubts are even stronger.

Anyone who wants to bet a better idea about this story should google saxo bank and see what it brings up ;) lol
11:57 December 19, 2011 by blik
Well its now quite clear SELL SAXO.

The lunatics have moved from the back rooms to the board room.
12:39 December 19, 2011 by bourgeoisieboheme
Means the Kroner will increase in value, eroding your export industry so don't think it's good news. With 8 million people, Sweden does not have the internal demand to keep the economy healthy so it has to export. Look at your main industries, all export. Pray your currency does not become the reserve currency for the EU.
13:22 December 19, 2011 by Liefje
what stronger crown? in last year SEK dropped by 10% regarding to euro, wouöld be nice to recover at least to that level. Now with Saab bancrupt I wonder if it can be true... though I would not mind, not at all, I have bills to pay in euros.
14:49 December 19, 2011 by bjorkon
Hogwash. Safer than the Euro, yes. But actually Krone is a leveraged play on the Euro. So watch it drop in tandem..
15:19 December 19, 2011 by bourgeoisieboheme
There is a strong correlation to the euro but should the euro plunge, only through the central bank will sweden be able to follow the euro down. From an economist's point of view, it will be too costly for the government to do that thus capital flight into the Kronor will raise the exchange rate... same with the NOK, GBP, etc.
19:59 December 29, 2011 by viennacalling
take a look at the Swiss Tourist industry , they are in heaps of trouble because of the rise in value of the Swiss Franc. just this morning there is a report on Bloomberg .com
23:30 January 3, 2012 by javalava
A stronger Krona will be bad for Swedish export ....How are we gonna explain this to Swedish product buyers?
Today's headlines
National
Chainsaw man destroys house in family feud
The man used a chainsaw to destroy most of the Lidköping home. Photo: Shutterstock

Chainsaw man destroys house in family feud

A man in central Sweden has gone on a rampage with a chainsaw after a family housing dispute took an unexpected turn. READ  

National
Man frames beggar with stolen tablet computer
The beggar was detained for almost 24 hours after the accusation. Photo: TT

Man frames beggar with stolen tablet computer

A man in southern Sweden has landed in hot water after he stole a tablet computer, gave it to a beggar, then reported her to the police. READ  

Stockholm 'sub hunt'
Sweden ready to use force to surface sub
The Swedish Armed Forces have sent out 200 troops. Photo: TT

Sweden ready to use force to surface sub

UPDATED: Sweden's military has announced that if it finds a suspect foreign vessel in the Stockholm archipelago, it is prepared to force it to the surface "with weapons if necessary". READ  

Stockholm 'sub hunt'
Sub hunt: 'There is something out there'
Former navy officer Bosse Linden in Vaxholm. Photo: Maddy Savage

Sub hunt: 'There is something out there'

Stockholm's archipelago is the focus of the biggest military operation in Sweden since the Cold War. The Local is in the region's capital, Vaxholm, to see what residents make of the drama. READ  

Presented by CurrencyFair
CurrencyFair: Why it pays when making overseas transfers
CurrencyFair co-founder Brett Meyers

CurrencyFair: Why it pays when making overseas transfers

Tired of losing money when you send cash back home? Join other expats in Sweden who avoid bank fees and hidden charges by sending money internationally with CurrencyFair, an online marketplace where secure transactions are faster and cheaper. READ  

European Union
Extremist saves Sweden Democrats' EU group
Sweden Democrat leader Jimmie Åkesson. Photo: TT

Extremist saves Sweden Democrats' EU group

The EU group that bound several Eurosceptic parties including the Sweden Democrats has been saved by an MEP from a far-right Polish group, just a week after it appeared to have crumbled, according to a UK press report. READ  

Stockholm 'submarine' hunt
Timeline: Mystery 'submarine' in Stockholm
Sweden's Armed Forces are out in force after reports of a foreign vessel in the Stockholm archipelago. Photo: TT

Timeline: Mystery 'submarine' in Stockholm

The world has had its periscope on Sweden since the Swedish military launched an extensive hunt for what is rumoured to be a damaged Russian submarine in the Stockholm archipelago. Here is the timeline of events so far. READ  

Business & Money
Profit leap for Swedbank
A branch of Swedbank in Malmö. Photo. TT

Profit leap for Swedbank

Swedbank has seen its profits rise higher than expected. READ  

New coalition
Sick pay U-turn from Sweden's new coalition
Stefan Löfven has changed his strategy on sick pay. Photo: TT

Sick pay U-turn from Sweden's new coalition

Small businesses won't face rising sick pay costs, following a policy reversal from Sweden's new coalition government. READ  

Stockholm 'submarine' hunt
Vessel hunt continues at 'full strength'
Minehunter HMS Koster takes part in the search in the Stockholm archipelago on Sunday. Photo: Marko Säävälä/TT

Vessel hunt continues at 'full strength'

The search for a suspected foreign vessel in the Stockholm archipelago continues with "full strength" on Tuesday morning, according to Sweden's armed forces. READ  

RECEIVE OUR NEWSLETTER AND ALERTS
Gallery
Property of the week: Malmö
Gallery
PHOTOS: 'Foreign activity' in Swedish waters
National
Sweden deploys troops over underwater threat
Gallery
People-watching: October 19th
TT
Society
QUIZ: How good is your Swedish?
Blog updates

19 October

Getting it (Blogweiser) »

"Follow Joel Sherwood on FB Few watch baseball in Sweden. This is excellent when your team loses..." READ »

 

17 October

Editor’s Blog, Oct 17th (The Local Sweden) »

"Hi readers, Here’s the whole week of news in just 60 seconds. The most-read story was about a..." READ »

 
 
 
Business & Money
Get your own office in Gothenburg or Stockholm - free for a day
National
A Touch of Scandinavia: Reindeer in the kitchen
Lifestyle
What's on in Sweden: October 17th - 24th
Society
The nudity... and nine other things expat men notice in Sweden
Gallery
People-watching: October 15th
Gallery
Your views: Should outdoor smoking be banned in Sweden?
Business & Money
Sweden has 'large hole' in finances
Sponsored Article
Introducing... Finding a job in Stockholm
Society
Monster salmon caught in northern Sweden
Gallery
Property of the week: Lorensberg
National
Scandinavia's child bride
National
Ebola crisis: How is Sweden preparing?
Lifestyle
Sweden's The Bridge to become 'more Danish'
Business & Money
How Sweden is becoming a cashless society
Gallery
Stockholm Burlesque Festival 2014
National
How a little red horse became a symbol for Sweden
Gallery
People-watching: October 12th
Business & Money
The hottest start-ups from southern Sweden
National
What's on in Sweden: October 10th - 17th
National
Stockholm is 'best' region for well-being
Gallery
People-watching: October 8th
National
Five facts to know about Patrick Modiano
Society
My Swedish Career: A French fashionista in Sweden
Society
Swede's anti-bully Facebook tale goes viral
Society
Have you seen Sweden's viral subway cancer campaign?
National
Isis: Swedes linked to Turkish prisoner swap
National
Should Swedes be banned from buying sex abroad?
Gallery
Fredrik Reinfeldt's leaving presents
National
Five Swedish TV shows you shouldn't miss
Gallery
A tool belt, a casserole, and a book. Fredrik Reinfeldt's parliament gifts
TT
Lifestyle
Top five winter festivals in Sweden
TT
National
Sami reindeer herders win mine reprieve
Gallery
Property of the Week: Gamla Enskede
Sponsored Article
How to catch the first lobster of the year
Politics
Ten new minister faces you should know
Tech
First womb transplant baby in world born in Sweden
Gallery
People-watching: October 5th
National
What's on in Sweden
National
Sweden rethinks Afghan translators' protection
Society
Interview with Geena Davis: 'I want to be in a Swedish movie'
Team SCA
Sponsored Article
All-female SCA team takes off on Volvo Ocean Race
Latest news from The Local in Austria

More news from Austria at thelocal.at

Latest news from The Local in Switzerland

More news from Switzerland at thelocal.ch

Latest news from The Local in Germany

More news from Germany at thelocal.de

Latest news from The Local in Denmark

More news from Denmark at thelocal.dk

Latest news from The Local in Spain

More news from Spain at thelocal.es

Latest news from The Local in France

More news from France at thelocal.fr

Latest news from The Local in Italy

More news from Italy at thelocal.it

Latest news from The Local in Norway

More news from Norway at thelocal.no

1,008
jobs available
Swedish Down Town Consulting & Productions
Swedish Down Town Consulting & Productions is an innovative business company which provides valuable assistance with the Swedish Authorities, Swedish language practice and general communications. Call 073-100 47 81 or visit:
www.swedishdowntown.com
PSD Media
PSD Media is marketing company that offers innovative solutions for online retailers. We provide modern solutions that help increase traffic and raise conversion. Visit our site at:
http://psdmedia.se
If you want to drink, that’s your business.
If you want to stop, we can help.

Learn more about English-language Alcoholics Anonymous in Sweden. No dues. No fees. Confidentiality assured.
AA-EUROPE.ORG/SWEDEN