Inflation expectations edge higher in
Photo: Jessica Gow/TT

Inflation expectations edge higher in one year, survey shows

Inflation expectations are rising marginally one year ahead among money market participants, according to Origo Group.

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Inflation according to the CPIF measure is expected to be 1.8 percent in a year. In the June survey, expectations for a year ahead were 1.7 percent, according to Origo, which measures expectations on behalf of the Swedish Central Bank.

Two years ahead, inflation expectations fall to 2.0 percent, compared with 2.1 percent in the June survey.

Expectations for the policy rate are essentially unchanged at 1.8 percent over a 3-24-month horizon. However, over a five-year horizon, expectations for the policy rate fall marginally to 2.2 percent, from 2.3 percent in the June survey.

The Swedish Central Bank's policy rate is currently 1.75 percent.

The krona - which has lost just over 11 kronor per euro since the June survey - is expected to strengthen to 10.84 per euro in three months, 10.72 per euro in a year and 10.47 per euro in two years.

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AuthorTT News AgencyEnglish edition by Sweden Herald, adapted for our readers
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