Swedish jobless up, raises rate cut chance

Tuesday, 22 November 2011 02:26

Sweden's unemployment rate rose in October, data presented on Tuesday, a fresh sign Europe's best performing economy is being dragged down by the debt crisis in the euro zone.


After record growth above 5% in 2010, output in Sweden peaked at the start of this year and Europe's travails have acted as a further brake over the past months.

The unemplyment rate rose to 6.9 % in October from 6.8 % in the previous month.


SEB said in its report it expected umenployment to rise gradually to around 8% late in 2013.

The Swedish crown was broadly unchanged after the unemployment data. Yields on two year Swedish bonds edged slightly lower.