Swedish consumer confidence improved for a third month in May after the central bank cut interest rates twice since December to avoid a recession in the largest Nordic economy.
The consumer confidence index rose to 5.9 from 4.7 in April, the Stockholm-based National Institute of Economic Research said today. Economists predicted a reading of 2.5, according to the median of 14 forecasts in a Bloomberg survey. A manufacturing confidence index rose to zero from minus 1.
Sweden’s $500 billion economy will probably accelerate amid rising confidence, the country’s central bank Governor Stefan Ingves said in the minutes of the bank’s latest rate meeting last month. The Riksbank kept its benchmark interest rate at 1.5 percent on signs a pickup in economic growth and predicted no more cuts in the next year after two reductions since December.
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