Sweden beats expectations with sharp rate hike

While the Swedish Central Bank made a tightening move above expectations, it signaled that the tightening will continue in the next 6 months.

The Swedish Central Bank increased the policy rate by 1 percentage point to 1.75 percent. The expectation of economists participating in the Bloomberg survey was that the interest rate would be increased to 1.50 percent.

With the last rate hike, the policy rate in the country rose to the highest level in 11 years.

In the last period, peak levels were observed in inflation indicators in the country.

According to the latest data, annual inflation in the country reached 9.8 percent, the highest level since 1991.