Economic Tendency Survey June 2021

The Economic Tendency Indicator still record-high

The Economic Tendency Indicator edged up further from 119.3 in May to 119.8 in June, setting a new record high. The manufacturing indicator fell slightly, but its very high level explains much of the positive sentiment in the business sector. The consumer indicator also fell, while the other business-sector indicators rose.

The confidence indicator for the manufacturing industry fell slightly in June but remains very high. The decrease was due to weaker expectations for future production. Firms’ view of their stocks and order books, however, was even more positive than before.

The confidence indicator for the building and civil engineering industry gained slightly more than 3 points. The two questions included in the indicator – on current order books and employment expectations – increased equally.

The confidence indicator for the retail trade also rose just over 3 points, thanks to more positive expectations for sales volumes in the next three months. Expectations improved particularly among food retailers.

The confidence indicator for the service sector climbed 2.8 points to 112.8 and shows a much stronger situation than normal. All of the questions included in the indicator are well above the historical average and made similar contributions to the overall level of the indicator.

The consumer confidence indicator fell almost 3 points from 112.2 to 109.4, mainly as a result of consumers being less positive about how their personal finances have developed over the past year. The micro index summarising how consumers view their personal finances fell by almost 3 points, while the macro index summarising their view of the Swedish economy as a whole gained almost 5 points and shows a very strong situation.