Home HomeSwedenLivingWorld world_2_fill WorldBusiness BusinessSports sports-soccer SportsEntertainmentEntertain

Expectations of Interest Rate Cuts Increase

The market players expect faster interest rate cuts from the Swedish Central Bank now than in June, shows a monthly measurement made by Kantar Prospera. The expectations of KPIF-inflation are rising marginally among the market players this summer.

» Updated: 16 July 2024, 14:28

» Published: 11 July 2024

Expectations of Interest Rate Cuts Increase
Photo: Anders Wiklund/TT

The market players expect faster interest rate cuts from the Swedish Central Bank now than in June, according to a monthly survey conducted by Kantar Prospera.

Expectations of KPIF inflation are rising marginally among market players this summer.

Inflation expectations are currently exactly in line with the Swedish Central Bank's inflation target both in the short and long term, according to Kantar Prospera's latest survey among market players.

Expectations for growth are also being adjusted upwards slightly for the coming year, but are being adjusted downwards to the same extent in the long term.

As for the repo rate - currently at 3.75 percent after the interest rate cut in May - it is expected to have fallen to an average of 3.40 percent in three months and 2.60 percent in twelve months. This can be compared to 3.60 percent in three months and 2.80 percent in twelve months in Prospera's June measurement.

In the short term, an inflation rate of 2.0 percent is expected according to the KPIF measure, according to the latest measurement. In June, expectations were at 1.9 percent. In the long term, an inflation rate of 2.0 percent is expected, compared to 1.9 percent previously.

The Swedish Central Bank's inflation target is 2.0 percent in KPIF inflation, which is an inflation measure where the effects of mortgage rates have been excluded.

In the long term, expectations are for a KPIF inflation rate of 2.1 percent, compared to 2.0 percent previously.

The measurements by Kantar Prospera are conducted on behalf of the Swedish Central Bank.

Tags
TTT
By TTThis article has been altered and translated by Sweden Herald

More news

The Union Steps Up the Tesla Strike
1 MIN READ

The Union Steps Up the Tesla Strike

New French obstacles for Airbnb
1 MIN READ

New French obstacles for Airbnb

The Government Seeks Support for Those Affected by Northvolt
1 MIN READ

The Government Seeks Support for Those Affected by Northvolt

The regional tax will be raised next year
1 MIN READ

The regional tax will be raised next year

Astra Zeneca's China Chief Arrested by Police
1 MIN READ

Astra Zeneca's China Chief Arrested by Police

More rate cuts - but risk of turmoil with Trump
2 MIN READ

More rate cuts - but risk of turmoil with Trump

Svantesson: Trump's policy may increase inflation
2 MIN READ

Svantesson: Trump's policy may increase inflation

Major Banks Lower Mortgage Rates
1 MIN READ

Major Banks Lower Mortgage Rates

Central Bank Economist: Central Bank Cuts Interest Rate Too Late
2 MIN READ

Central Bank Economist: Central Bank Cuts Interest Rate Too Late

How You Are Affected by Lowered Interest Rates
2 MIN READ

How You Are Affected by Lowered Interest Rates

Thedéen expects turmoil after Trump's victory
2 MIN READ

Thedéen expects turmoil after Trump's victory

Inflation upswing does not threaten interest rate cuts
3 MIN READ

Inflation upswing does not threaten interest rate cuts

The Stockholm Stock Exchange Continues Upwards
1 MIN READ

The Stockholm Stock Exchange Continues Upwards

Most up on Asian stock exchanges
1 MIN READ

Most up on Asian stock exchanges

This is how your wallet can be affected by Trump's victory
2 MIN READ

This is how your wallet can be affected by Trump's victory

Cheerful on Wall Street after Trump win
1 MIN READ

Cheerful on Wall Street after Trump win

Thousand-kronor notes to be picked up when the Central Bank increases the pace
3 MIN READ

Thousand-kronor notes to be picked up when the Central Bank increases the pace

Swish up and running again after disruption
1 MIN READ

Swish up and running again after disruption

Trump's company is soaring on the stock exchange
1 MIN READ

Trump's company is soaring on the stock exchange

Swedish Export Threatened by Trump Victory
2 MIN READ

Swedish Export Threatened by Trump Victory