Sweden’s core inflation rate, measured by the KPIF index, fell to 1.3% in June, down from 1.5% the previous month, according to a preliminary calculation by Statistics Sweden (SCB).
The decline marks a continued easing of price pressures in the Swedish economy, bringing the core measure closer to the Riksbank’s 2% target while underscoring the persistence of disinflationary forces across the region.
8% in June from 3.2% in May, a sharper-than-expected deceleration that has reinforced market expectations for further policy accommodation.
The latest print arrives as broader European data also points to cooling price dynamics.
Eurozone headline inflation, tracked by the Harmonised Index of Consumer Prices (HICP), dropped to 2.8% in June from 3.2% in May, a sharper-than-expected deceleration that has reinforced market expectations for further policy accommodation.
The synchronized softening in both Sweden and the eurozone suggests that underlying inflationary pressures are receding more broadly than previously anticipated.
For traders and investors, the Swedish data reduces the risk of a hawkish surprise from the Riksbank in the near term.