Political Economy



Surprisingly very poor data on Swedish economic performance

Friday, 22 November 2013
Data analyzed about the Swedish economic performance examined recently has surprised most and shown that the economy presented itself negatively among others comparative economies recently.

Not long ago the Swedish economy was characterized and described as the "Tiger economy" given that it was growing reminiscent of the Asian tiger economies. But things have stalled and unepected, the Swedish economy has been associated with negative or dismal economic numbers, according to Citigroup in its surprise index, reports Swedish business daily Dagens Industri.

According to the report and analysis in the Swedish paper, Sweden's economic statistics have recently tightened on the weaker side. In relation to the expectations, as measured by news agency Bloomberg analyst surveys, the Swedish data surprised the most negative of all countries and regions which Citigroup follows.

Second most negative is data coming in from Latin America and surprised as the third-most in the growth regions. At the other end of the spectrum are Canada and Japan. There, the economic statistics have been better than expected.

Also Swedish bank, Handelsbanken notes that the Swedish figures were worse than expected lately.

"Swedish data has generally surprised on the downside in recent times as reflected clearly in surprise index, especially compared to the euro zone, "the bank said in a market letter.

Handelsbanken economists believe, however, that trends change was supported by the recent weaker krona.

"As we have previously pointed out, the Swedish data to a large extent has been affected by movements in the exchange rate. The recent weakening of the krona should provide support for the Swedish data and we should expect consideration surprises on the upside for some time," the bank writes.

By Scancomark.com Team

Print Friendly and PDF