This is the forex quote for the U.S. Dollar against the Swedish Krona. In this quote, the value of one USD (the 'base currency') is quoted in terms of SEK (the 'counter currency'). The pair is sensitive to relative monetary policy expectations for the Federal Reserve vs. the Riksbank, Sweden's central bank. The Dollar has also acted as a safe-haven asset at times of market stress, meaning the USD/SEK exchange rate can be sensitive to swings in broad-based investor sentiment trends. Sweden is also a prolific exporter to the UK and the Eurozone, meaning developments in those economies can at times influence SEK price action.
The Swedish Krona has been the currency of Sweden since 1873. It is issued by the Swedish central bank, Sveriges Riksbank. In English, the currency is sometimes referred to as the Swedish crown (Krona means crown in Swedish).
One Krona is subdivided into 100 öre. However, all öre coins were discontinued as of September 30, 2010. Goods are still priced in öre, but when paying with cash all sums are rounded to the nearest Krona.
Coins currently in circulation are 1 Krona, and 5 and 10 Kronor. Banknotes are in denominations of 20, 50, 100, and 500 Kronor.
Sweden has achieved an enviable standard of living, due to high-tech capitalism, extensive social benefits, a modern distribution system, and a highly skilled labor force.
The economy is heavily oriented to foreign trade, utilizing a resource base of timber, hydro power, and iron ore.
The global economic crisis of 2008 reduced export demand and consumption, causing the Swedish economy to slide into recession despite its strong finances and underlying fundamentals. Strong commodity exports contributed to a strong rebound in 2010-2011.
The Swedish Krona was introduced in 1873, replacing the Riksdaler at par. The currency was introduced as a result of the Scandinavian Monetary Union with Norway and Denmark, which lasted until World War I. Currencies under the treaty were under the gold standard.
The Monetary Union ended with the outbreak of World War I in 1914. Sweden abandoned the gold standard on August 2, 1914, and without a fixed exchange rate the union came to an end.
By treaty, Sweden is required to join the eurozone and convert to using the Euro. However, most Swedes are opposed to adopting the currency. On September 14, 2003, 56% of a high turnout of voters rejected adopting the Euro. Taking advantage of a loophole, the Swedish government has opted not to join ERM II, a precondition to adopting the Euro.
The United States Dollar is one of the most widely utilized currencies around the globe, both as an official currency and for international trade outside US borders. The Dollar is divided into 100 units called pennies or cents.
The United States of America has a mixed capitalist economy, which is fueled by abundant natural resources, a well-developed infrastructure, and high productivity.
According to the International Monetary Fund, the U.S. GDP of $15 trillion constitutes 23% of global GDP to exchange rates and market more than 20% of global GDP in purchasing power parity.
Although larger than any other nation, its GDP is 5% smaller than the GDP of the European Union in purchasing power parity in 2008.
The country ranks ninth in the world in nominal GDP per capita and sixth in GDP per capita in PPP. The United States Dollar is the main global reserve currency.
The first Dollar coin issued by the United States Mint was similar in size and composition to the Spanish Dollar. The Spanish Dollar remained legal until 1857.
The United States Dollar was defined by the Coinage Act of 1792.
The lion Dollar was popular in the Dutch New Netherlands Colony (New York), but also circulated throughout the English colonies during the 17th century and 18th centuries. Examples of this Dollar circulating in the colonies were usually used so that the design was not fully distinguishable, so it is sometimes referred to as “dog dollars”.
The early currency did not display faces of the presidents, as it does now. George Washington did not want his face to be on the currency.