Bloomberg said that Sweden’s krona declined to the weakest level in almost two years against the euro amid speculation the nation’s central bank will cut interest rates at least once this year, damping demand for the currency.

“It’s all about the Riksbank,” Carl Hammer, chief currency strategist at SEB, told the news bureau. “The market is readjusting to the possibility of at least one rate cut.”

Riksbank policy makers kept the main interest rate at 0.75 percent on April 9. A government report the next day showed annual consumer prices dropped 0.6 percent in March, the most since 2009 and twice as much as economists predicted.

The krona slid 0.4 percent to 9.1162 per euro 16 April, after touching 9.1166, the weakest since May 2012.