Sweden’s preliminary CPI reading for August showed headline inflation rising to 1.1% y/y (from 0.8% in July), the highest since February, while consumer prices fell by 0.4% m/m. The Riksbank’s preferred measure, CPIF, increased to 3.3% y/y (vs. 3.0% previously and above expectations of 3.2%), while CPIF excluding energy edged lower to 2.9% (from 3.2%). This mix points to persistent underlying price pressures, even though headline inflation remains clearly below the 2% target.
On the activity side, Sweden’s PMIs rebounded strongly in August, with the services index rising to 53.4 and the composite index to 53.9, after a broad-based decline in July. The improvement was driven by stronger employment and demand components, signaling that the slowdown seen earlier this summer may have been temporary. The PMI rebound strengthens the case against rapid policy easing.
Start investing today or test a free demo
Create account Try a demo Download mobile app Download mobile appMarkets now expect the Riksbank to keep the policy rate at 2.0% on September 23, shifting pricing of cuts more toward November. Following today’s CPI data, EURSEK jumped 0.2% from 10.98 to 11.00, bouncing off key support, with SEK standing out today as one of the weakest G10 currencies.
This content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.
