Sweden GDP (Q2)

The sharp contraction in the Swedish economy in Q2 confirms that it has not been immune to Covid, despite the government’s well-documented light-touch lockdown. Nonetheless, the economic crunch over the first half of the year was in a different league entirely to the horror shows in southern Europe.
David Oxley Senior Europe Economist
Continue reading

More from Nordic & Swiss

Nordic & Swiss Economics Weekly

Few signs of inflation in Scandinavia

While global financial markets are obsessing over the possible rebirth of inflation, there are precious few signs that it is about to take off in Scandinavia. The increases in headline inflation for September in Norway and Sweden were due to higher energy inflation. This should drop sharply next year as the supply of renewable electricity rebounds. Meanwhile, the US Treasury is due to publish its latest report on “currency manipulators” in the coming week or so but Switzerland should again get a free pass.

15 October 2021

Nordic & Swiss Rapid Response

Few signs of inflation in Scandinavia

While global financial markets are obsessing over the possible rebirth of inflation, there are precious few signs that it is about to take off in Scandinavia. The increases in headline inflation for September in Norway and Sweden were due to higher energy inflation. This should drop sharply next year as the supply of renewable electricity rebounds. Meanwhile, the US Treasury is due to publish its latest report on “currency manipulators” in the coming week or so but Switzerland should again get a free pass.

15 October 2021

Nordic & Swiss Chart Book

Monetary policy divergences

The Norges Bank’s tightening cycle began at the end of last month and we suspect that investors are underestimating the pace of rate hikes to come. By contrast, the Riskbank looks set to leave interest rates unchanged for some time, instead adjusting its monetary stance by shrinking its balance sheet. And interest rates at the SNB remain closely tied to those at the ECB, which means they are going nowhere fast.

15 October 2021

More from David Oxley

Nordic & Swiss Data Response

Norway GDP (May) & Sweden GDP Indicator (May)

The larger-than-expected rise in mainland Norwegian GDP in May indicates that the economy is back in business following the lifting of restrictions, and it is likely to have regained its pre-virus level in June.

7 July 2021

Global Economics Focus

The CBDCs are coming

We expect some major central banks to issue digital currencies later this decade, with those in countries where cash is rarest proceeding the fastest. The first generation of central bank digital currencies will be purposely designed not to shake up the status quo. But once established they would offer powerful new policy tools. It would be naïve to think that sooner or later central banks won’t consider using them.

6 July 2021

Nordic & Swiss Economics Weekly

Löfven exits the stage (not pursued by a bear)

The resignation of Prime Minister Stefan Löfven in Sweden has added to the period of political uncertainty in Sweden. That said, the other leading political actors would probably struggle to pass muster in the Riksdag and so there is a good chance that Mr Löfven will return in the same role before long. Next week, we expect monthly GDP data from Norway to show that mainland activity gathered pace in May, and that core inflation remained below the Norges Bank’s target in June.

2 July 2021
↑ Back to top