Swedish Krona Retreats Against Euro

The Swedish krona retreated from an early high against the euro in the early European session on Wednesday, after Sweden's economic confidence weakened for the third straight month in March.

Data from the National Institute of Economic Research showed that the economic tendency indicator fell by 2.7 points to 101.5 in March from 104.2 in the previous month. The confidence index for the manufacturing sector dropped to 101.2 in March from 105.8 in February. Economists had forecast the index to climb to 106.7.

Meanwhile, the consumer confidence indicator improved in March, with the corresponding index rising to 100.5 from 97.6 in February. Economists had expected the index to rise slightly to 98.0.

Confidence in the private service sector came in at 101.5 in March, down from 103.6 in the prior month.

Against the euro, the krona fell to 9.3081 from an early 5-day high of 9.2619. At yesterday's close, the krona was trading at 9.2685 against the euro.

If the krona extends its downtrend, it is likely to find support around the 9.43 area.