Minutes from the Riksbank policy meeting show that, despite low underlying inflation and a fragile recovery, the Middle East conflict has raised the likelihood of a rate hike before year-end. Governor Erik Thedéen said the conflict's effects are already visible in Swedish and foreign price‑pressure indicators, though long‑term implications remain uncertain. He added the bank is slightly tightening policy; adjustments to date are small but can be quickly scaled up or down depending on the evoluti

Minutes from the Riksbank policy meeting show that, despite low underlying inflation and a fragile recovery, the Middle East conflict has raised the likelihood of a rate hike before year-end. Governor Erik Thedéen said the conflict's effects are already visible in Swedish and foreign price‑pressure indicators, though long‑term implications remain uncertain. He added the bank is slightly tightening policy; adjustments to date are small but can be quickly scaled up or down depending on the evolution of inflation risks.