Monthly Comment – December 2025
The financial markets ended the year relatively stable, and a distinct Santa Claus rally failed to materialize. In the commodity markets, oil prices declined while metal prices continued to rise. From the United States, strong growth figures were reported, while the U.S. central bank, the Federal Reserve, as expected cut its policy rate by 25 basis points to a range of 3.50–3.75%. The Fed also communicated two planned rate cuts during 2026 and resumed purchases of short-term government securities in order to provide additional liquidity to the financial system. Around the turn of the year, measures against Venezuela were stepped up, which can be seen as a signal from the United States that the American continent remains of strategic importance. So far, these events have not led to any major market reactions. Negotiations on a possible peace agreement in Ukraine continued during the period, and the United States and Europe agreed on additional support packages. The European Central Bank left its policy rate unchanged, as did the Riksbank. At the same time, inflation in Sweden continued to decline. The Swedish krona strengthened further during the month and ended the year around 20 percent stronger against the U.S. dollar.