Swedish inflation falls in January
David Landes · 19 Feb 2008, 15:46
Published: 19 Feb 2008 15:46 GMT+01:00
- Central bank in surprise rate rike (13 Feb 08)
- Nordea: Swedish economy cooling off (21 Jan 08)
- Inflation at record level (14 Jan 08)
The consumer price index (CPI) fell by 0.8 percent, with most of the change attributed to an annual adjustment in the basket of prices that make up the index.
According to new figures from Statistics Sweden, up to 0.5 percentage points of the CPI drop are a result of the new CPI basket, with decreasing prices making up the other 0.3 percent.
Seasonal price decreases for clothing and footwear (down 15.1 percent) and package holidays (down 6.2 percent) brought prices down by 0.8 and 0.1 percentage points, respectively.
Lower real estate taxes (down 26.1 percent) contributed 0.2 percentage points to overall lower prices.
Higher food prices (1.4 percent), as well as higher prices for alcoholic beverages and tobacco (5.2 percent) counteracted the decrease by 0.2 percentage points each.
Additional inflation pressures came from higher prices for fuels (2.5 percent), restaurants (1.3 percent), electricity (3.6 percent) and rents (0.8 percent), which each accounted for a 0.1 percentage point price increase.