Sweden: CPIF inflation tops projection and target
Latest reading: Consumer prices with a fixed interest rate (CPIF) inflation rose to 3.0% in July from June’s 2.8%, the highest reading in 18 months. July’s print exceeded both the Riksbank’s 2.0% inflation target and the Bank’s 2.5% projection for July. Looking at the details of the release, the increase was driven by a softer fall in housing and utilities costs.
As a result, the trend pointed up, with annual average inflation rising to 2.1% in July (June: +2.0%). Meanwhile, core inflation—which excludes energy costs as well as the effect of interest-rate changes—eased to 3.2% in July from June’s 3.3%. Meanwhile, consumer price inflation ticked up to 0.8% (June: +0.7%).
Finally, consumer prices with a fixed interest rate rose 0.28% from the previous month in July, down from the 0.53% increase recorded in June.