FXStreet (Edinburgh) - According to Chief Analyst at Danske Bank Jakob Christensen, the Nordic central bank could intervene in the FX markets in order to avoid further SEK appreciation. Key Quotes “In the Scandi markets, Riksbank governor Ingves stole the attention as just before New Year, he reiterated worries regarding SEK strength and explicitly warned that the Riksbank may have to resort to FX intervention should the level of the SEK endanger the inflation outlook”. “These comments briefly sent EUR/EK back above 9.20. We note that the Riksbank's preferred exchange-rate measure, the KIX, was close to 2% below the central bank's Q1 16 forecast at the time of Ingves' intervention warning”. “In our view, the Riksbank worried about the pace of appreciation rather than about protecting certain levels or thresholds, but the late-2015 warning proves that it is not without risk to 'test the Riksbank' on this matter”. For more information, read our latest forex news.