Markets functioning better than in the spring
News The uncertainty linked to the coronavirus pandemic means that risk-taking is declining, according to the results of the autumn Financial Markets Survey. At the same time, more respondents say that the Swedish fixed-income market is functioning well in relation to the spring. The FX market for SEK is also perceived to be working better.
Slightly more respondents than in the spring, almost half of them, describe their general risk-taking as low or very low. But at the same time, a slightly larger number of participants say they have increased their risk-taking over the past six months and point to the low interest rates as explanation.
A larger number of participants than in the spring say that the FX market for SEK is working well. Six out of ten respondents consider the FX market in Swedish krona to be functioning well or very well. Half or the participants consider the Swedish fixed-income market to be working well, which is a large increase on the previous survey. It is primarily liquidity for covered bonds, investment grade corporate bonds and commercial paper that is perceived as better.
FINANCIAL MARKETS SURVEY
Twice per year, the Riksbank conducts a survey among Swedish and foreign participants on the Swedish fixed income and/or foreign exchange markets. A total of 53 participants responded to the autumn survey, conducted between 5 and 21 October. The survey forms a complement to the regular contacts the Riksbank has with the market.