World Economy

Sweden Inflation Slows

Sweden Inflation SlowsSweden Inflation Slows

Swedish inflation slowed more than estimated in May, adding pressure on the central bank to expand its unprecedented stimulus measures at its meeting next month. Consumer prices rose an annual 0.6% in May, compared with 0.8% the prior month, Statistics Sweden said in a statement Tuesday. The Riksbank and analysts surveyed by Bloomberg estimated inflation would slow to 0.7%. Adjusted for mortgage costs, inflation slowed to an annual 1.1% from 1.4%. The central bank in April eased up on the pace of stimulus and predicted it will meet its 2% inflation goal next year after years of below target price growth. Policy makers have cut rates deep below zero and unleashed a bond buying program to pump money into the economy to propel prices. The krona slid 0.4% to 9.34 per euro in Stockholm. According to Statistics Sweden, consumer prices rose a monthly 0.2% in May according to both measures, after staying unchanged the previous month.