Sweden: Annual decline in consumer prices accelerates in November
December 12, 2014
In November, consumer prices decreased 0.1% over the previous month, which contrasted the 0.1% increase recorded in October and marked the lowest reading in four months. According to Statistics Sweden (SCB), October’s print was mainly the result of lower prices for international flights, package holidays, fuel and interest rate costs. Conversely, clothing recorded higher prices than the previous month.
Consumer prices fell 0.2% in November over the same month last year, which followed the 0.1% decrease tallied in October. As a result, inflation continued to hover in negative territory and remains well below the Central Bank’s target of 2.0%. Annual average variation in consumer prices inched down from minus 0.1% in October to minus 0.2% in November.
Meanwhile, annual core inflation—defined as the CPI with mortgage rates held constant—held steady at October’s 0.6% in November.
Author: Cecilia Simkievich, Economist