A proposal for conditional mandatory extension of some Danish covered bonds is a “step in the right direction” but does not fully eradicate mortgage banks’ refinancing risk, S&P said yesterday (Wednesday), and an issuer said the rating agency’s intervention could be helpful.

Danske and DNB released fourth quarter results today (Thursday) that reflect “various stages of recovery” while reporting by Handelsbanken and SEB yesterday confirm the strength of the Swedish banking sector, said a KeplerCheuvreux analyst.