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Economists are expecting the Danish central bank to unilaterally hike interest rates several times before the end of this year in order to shore up the Danish currency and stop capital outflows, according to Børsen.
“In the light of a continued negative interest differential between the European and Danish rates and a resulting capital outflow from Denmark, we expect the central bank Nationalbanken to have to continue to unlilaterally increase rates – perhaps with a first move next week,” says FIH Erhvervsbank Head of Analysis Lene Margrethe Bruun Brockhoff.
