Swedish consumer prices rose more than expected in December, reaching double digits and a new 30-year high, putting pressure on the central bank to continue raising interest rates after four increases last year.
Consumer prices rose 1.9 percent in December over the previous month and 10.2 percent over the same month last year, according to the statistics office (SCB) on Friday.
In a Reuters poll, analysts predicted headline inflation of 9.9%, while the Riksbank projected annual price increases of 9.1% in its most recent forecast in November. The central bank’s inflation target is 2% CPIF.
Nordic banking Nordea stated that the outcome was less dramatic than it appeared due to an increase in electricity prices of nearly 30% in December compared to the previous month. Since the beginning of the year, electricity prices have decreased.
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