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Sweden Inflation Expectations Ease, Cooling Pressure on Riksbank

An unexpected decline in Swedish long-term inflation expectations could ease pressure on the country’s central bank to accelerate interest rate increases next month.

Money market players in the Nordic nation now see price increases according to the Riksbank’s target measure, CPIF, at 2.3% five years from now, down from 2.5% in July, according to a closely watched survey commissioned by the Riksbank.