Minkgate fallout; Riksbank to expand QE next week

The political wrangling in Denmark following the outbreak of COVID-19 in the country’s mink farms shifted up a gear this week and the economic damage from the lockdown in North Jutland is racking up. Next week, the Riksbank is all but certain to leave the repo rate unchanged at zero on Thursday, but we expect policymakers to expand and extend the asset purchase programme again.

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