Swedish Central Bank Survey: Retailers believe the worst period for the economy is over

A survey conducted by the Swedish central bank on businesses shows that the economic situation in the Swedish commercial sector is still weaker than normal levels, but all industries are clearly optimistic that the situation will improve within six months. In a report released on Monday, the Swedish central bank stated: "Retailers believe that the worst period is over and see some signs of sales growth since the autumn." Companies in the industry are also more optimistic about the future, as they expect a decrease in inflation and interest expenses to stimulate household demand. The Swedish central bank stated: "This is also reflected in the pricing plans of businesses, as companies targeting household sales plan to increase sales prices in the coming year due to strengthening demand." However, companies mentioned that the planned price increases are moderate, "in line with the inflation target." According to the Swedish central bank, the assessment of economic trends is based on hopes of maintaining low inflation and continued interest rate declines. Therefore, some companies express concerns that developments may not unfold as expected. The Swedish central bank stated: "This progress is considered fragile, and companies believe that little effort is needed to make households more restrained in terms of consumption."