The Danish market for euro and dollar liquidity is considerable, and intervention via the FX swap market also entails drawing substantial amounts on the foreign-exchange reserve. Pressure on the krone prompted Danmarks Nationalbank to intervene heavily directly in the foreign-exchange market in late September and the first weeks of October.
On the basis of our assessment, and by acting in a firm and timely manner, we will ensure that risks to price stability over the medium term do not materialise and that medium and long-term inflation expectations remain firmly anchored in line with price stability, which is all the more important in the current context.