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Reactions to this morning's Economic Tendency Survey

SWEDEN
  • Nordea: "The survey remains mixed as for the growth outlook... Most important for the Riksbank are the inflation indicators. The business sector’s price plans and expectations suggest that inflation will remain high for some time yet, while there are some tentative signs of inflation peaking. The far too high inflation means that Riksbank will tighten monetary policy swiftly this year. We see the Riksbank’s policy rate at 2.00% at the end of this year, up from the current level of 0.75%."
  • Handelsbanken: "Business sentiment points to decent growth in 2022. On the other hand, sentiment among households is weak. The consumer confidence indicator dropped further and is at its lowest ever level since its calculation began in 1996. High inflation means that many households’ real disposable income is decreasing and interest rates are rising, which is putting the brakes on consumption."
  • Swedbank: "Our overall impression of today’s data is slightly positive despite falling sentiment. The Riksbank can continue to focus on fighting inflation. We maintain our call of a 75 bp rate hike in September, however, we do not rule out an in-between meetings hike after the upcoming CPI report."

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