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Where in Sweden have you ever heard someone pronounce 'katt' anywhere close to 'cut'? Maybe you misheard someone say 'kut' (baby seal)?

Maybe not a perfect comparison but I think it sounds very similar. "kut" on the other hand sounds like neither so not sure why you think I mean that.

cut - IPA(key): /kʌt/

katt - IPA(key): /ˈkatː/

(there's audio on both links)