Swedish real estate stocks drag sector to 2012 low
20/09/2022 15:59
** Swedish real estate stocks lead heavy sector drop following a super-sized 1 percentage point rate hike in Sweden that could exacerbate the challenges facing the heavily leveraged industry ** Stockholm-listed Fastighets AB Balder BALDb.ST , Wallenstam WALLb.ST , Sagax SAGAb.ST , Castellum CAST.ST and Wihlborgs WIHL.ST down between 7.4 and 9% by 1439 GMT ** "All leveraged sectors that see rates going up at this speed are suffering.. Sweden raising rates by 100 bps and tomorrow's FOMC meeting don't make you want to rush and buy real estate" says Anthilia fund manager Giuseppe Sersale ** STOXX Real Estate index .SX86P falls 5% to lowest since July 2012. Other top losers include Kojamo KOJAMO.HE , Big Yellow BYG.L , Safestore SAFE.L , down over 6% ** Sweden's central bank raises rates by a larger-than-expected full percentage point to 1.75% and warns of more to come as it seeks to get to grips with surging inflation urn:newsml:reuters.com:*:nL8N30R1OH (Reporting by Danilo Masoni, editing by Alun John) ((Danilo.Masoni@TR.com; +39-02-66129734; Reuters Messaging: danilo.masoni.thomsonreuters.com@reuters.net; On Twitter https://twitter.com/damasoni))