Inflation rose in October

Inflation is rising.
In October, it landed at 1.5 percent, according to the KPIF measure.
– It was higher than expected, says Nordea’s chief analyst Torbjörn Isaksson, to TT.

From 1.1 to 1.5 percent. The inflation rate is increasing somewhat higher than expected, but it is still lower than the Riksbank’s target of 2.0 percent.

– This means that relatively low inflation is a trend and not an exception, says Felicia Schön, private economist at Avanza, and continues:

– So it does not worry me, but it is rather gratifying that the inflation rate does not fall further, as even larger interest rate cuts would have been necessary, and with the uncertainties surrounding the US’s future economy, it is not the time for a hard landing in Sweden.

According to Bloomberg’s compilation, analysts had believed in an inflation outcome of 1.3 percent.

The jump: Double dip

At 9:30 a.m. today, the Riksbank will issue a new key interest rate announcement, which is not affected by the inflation figure because the decision was taken yesterday.

– I don’t think this would have changed the Riksbank’s interest rate announcement, but rather made them more confident that they don’t need to increase the pace even more, says Felicia Schön.

According to expert assessments, a double reduction is believed, i.e. a reduction of the policy rate by 0.50 percent.

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