Swedish central bank's Jansson says main scenario is 25 bps cuts in Nov, Dec
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STOCKHOLM, Oct 3 (Reuters) -The main scenario for Swedish interest rates is for quarter point cuts in November and December, but in an uncertain situation there is a chance of a 50 basis point cut at one of those meetings, Riksbank Deputy Governor Per Jansson said on Thursday.
At its September meeting, the Riksbank cut the policy rate by a quarter point to 3.25% and said it expected to cut the policy rate at both the remaining meetings this year, with a chance that one of those could be a half-percentage point cut.
"It's on the menu, but it's not the main course," Jansson said.
Economic recovery is going slower than expected and there is a risk that low energy prices begin to affect other prices in the economy which would then impact inflation, he said.
"It is important that we get the economy going so that inflation can be around 2%, otherwise we could have a problem with (inflation) going in the other direction."
Reporting by Simon Johnson, editing by Terje Solsvik
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