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Sweden's inflation drops to 1.3% in June, the lowest in 3 years
Posted on July 18, 2024 |
Sweden's inflation fell for the first time in 3 years to 1.3% in June, below the Riksbank's 2% target.
The CPI, excluding changes in household mortgage costs, showed inflation dropping from 2.3% in May to 1.3% in June.
June's inflation decrease was influenced by lower prices for clothing, hotel stays, and recreational and cultural services.
This is the first time since September 2021 that inflation is below the Riksbank's 2% target.
The Riksbank may consider lowering interest rates in August and possibly again in the autumn due to the lower inflation rate.
Economic uncertainties like the pandemic, the Ukraine war, and the Gaza conflict affect inflation.
The overall CPI, including higher interest costs, showed inflation falling to 2.6% in June from 3.7% in May.