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Koefoed: The Swedish rate cut is an 'over-reaction'

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Has Sweden's Central bank over-reacted by cutting its main repo rate to zero percent? Saxo Bank's Head of Macro Strategy, Mads Koefoed thinks so. USDSEK rose again to a one year high following the move and Mads we could easily see USDSEK 8.00 very soon.
The Riksbank said deflation is a major worry and that's one of main reasons it cut rates this Tuesday. Mads suggests it's gone too far as growth and household spending are looking strong.