Business Tendency Indicator gains almost 3 pointsin August
The Economic Tendency Indicator climbed 2.8 points from 96.0 in July to 98.8 in August. It has gained around 7 points in the past three months and is now slightly more than 1 point below the historic average. The indicator for the manufacturing industry gained more than 5 points, while the indicators for the retail trade, private service sector and consumers rose more moderately and the indicator for the building and civil engineering industry fell more than 3 points.
Confidence indicator for industry as a whole climbs for a third successive month
The confidence indicator for the manufacturing industry gained 5.2 points in August and is now in line with the historic average. Production volumes have been unchanged in recent months, but plans are more optimistic than for a long time and point to substantial growth. Employment has continued to decline, albeit not at the same rate as before, and employment plans still point to cutbacks in the coming months.
The confidence indicator for the building and civil engineering industry fell 3.2 points in August and is now slightly more than 8 points below the historic average. The order books, output and employment have all decreased in recent months, and firms do not anticipate any improvement in the coming months.
The confidence indicator for the retail trade gained 1.7 points in August and is now at a level that signals a slightly stronger situation than normal. It is primarily the food trade that is thriving, but the situation is also stronger than normal in the motor trade. The specialist retail trade is more negative, and the confidence indicator for this subsector is still below the historic average, although it has gained 11 points in the past three months alone.
The confidence indicator for the private service sector gained 0.8 points in August and is now just below the historic average. Demand has picked up in recent months, and employment has stabilised. Firms anticipate further growth in the coming months, and the picture is consistent with virtually all subsectors anticipating increased demand. Employment is expected overall to be unchanged.
Consumers positive about durable goods purchases
The Consumer Confidence Indicator rose 1 point from 98.3 in July to 99.3 in August but is still below 100, which indicates a normal situation. Consumers' assessment of both their personal finances and the Swedish economy is more positive than in July, and the Micro Index indicates that households are more optimistic than normal about their personal finances.
For further information:
Roger Knudsen, Head of Economic Tendency Surveys +46 8-453 59 06
Sarah Hegardt Grant, Head of communications +46-8-453 59 11, +46-70-267 80 41