This week was dominated by Q1 GDP data releases, which surprised on the upside in both Switzerland and Sweden. But while the Swiss outcome was a welcome sign, the Swedish figure masked domestic weakness, and timelier indicators suggest that the pace of growth will fall back sharply in both economies in Q2. Meanwhile, the unexpected victory by the centre-right Venstre party in the European elections in Denmark makes the outcome of next week’s parliamentary elections there even more uncertain.
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