Swedish core inflation falls to 0.7% in July, matching expectations

SCB data shows KPIF cooling from 1.3% in June, driven by temporary fuel tax cuts. The print aligns with consensus, offering no surprise for Riksbank watchers.

By Handelsavisen Newsroom · Automated 6 August 2026, 06:05 UTC · 1 min read

Swedish core inflation, measured by the KPIF index, dropped to 0.7% in July, according to preliminary figures released by Statistics Sweden (SCB).

The reading matches the 0.7% consensus forecast from analysts and represents a significant deceleration from the 1.3% recorded in June.

2% in May, signaling a continued easing of price pressures across the currency bloc.

The sharp decline in underlying price pressures was largely attributable to a temporary reduction in fuel taxes, which lowered energy costs for consumers.

This policy-driven effect helped pull the core measure down to levels that reflect a broader cooling in the Swedish economy’s price dynamics.

The data arrives as markets monitor inflation trends across the Nordic region and the wider eurozone.

In the eurozone, headline inflation had previously fallen to 2.8% in June, down from 3.2% in May, signaling a continued easing of price pressures across the currency bloc.