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Temporary reprieve as EU-US trade tensions ease

Given the openness of the Nordic & Swiss economies, their policymakers will have breathed a sigh of relief at the easing of trade tensions this week between the EU and the US. But should the current ceasefire end, we think that Switzerland’s position outside the Customs Union means that it won’t be hit as hard. Meanwhile, fairly weak Swedish data published this week supported our view that GDP growth slowed a touch in Q2.

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