Sweden: Economic sentiment deteriorates further in June
The economic tendency indicator fell to 98.1 points in June from May’s revised 99.4 points (previously reported: 99.8 points), marking the lowest reading since September 2013. Values above 100 indicate strengthening economic growth, while values below 100 indicate weakening growth.
June’s decline came on the back of a broad-based deterioration across sectors. Confidence in the manufacturing sector fell on a downgrade in production plans. Moreover, confidence in the construction sector also declined in June, however remained above its historical average. Retail trade sector confidence fell notably on softer sales, while sentiment in the services sector turned more pessimistic in the month due to weaker demand.
Meanwhile, consumers were slightly less pessimistic in June due to a less downbeat assessment of their personal finances and abilities to make major purchases. Consumers were more negative about the economic outlook, however.