Economy

Swedish growth
Economists: Still sluggish – interest rate cut needed

The recovery in the Swedish economy is taking a while. This is stated by Handelsbanken's economists in a comment after this morning's GDP figures for the second quarter.

GDP growth was slightly higher than expected, but lower than the Riksbank's forecast.

The weak trend will continue during the autumn, with subdued growth and a weak labor market, the bank predicts:

"Along with falling inflation indicators, we stand by our assessment that the Riksbank will cut interest rates in September".

However, the GDP figure came in just below SEB's forecast, confirming the picture that the economy continues to stagnate.

"The big picture: inertia persists - RB reduction is needed," writes the bank's senior economist Robert Bergqvist on X.

Tens of thousands of jobs at risk if telephone sales are stopped

Tens of thousands of jobs are at risk if telephone sales are banned, warns Tina Wahlroth, chairwoman of the trade association Kontakta.

- These are mainly young people. It is a very valuable job with low entry thresholds, she tells TT.

The Swedish Consumer Agency wants to see a total ban and describes telephone sales as a problem for consumers, where people are caught off guard and make decisions without sufficient information.

Wahlroth does not share the picture but admits that some products may not be sold over the phone and hopes for a dialogue with the government on the issue.

US elections  Climate policy
Trump stops billions in subsidies for US wind power

The Trump administration is stopping funding of 679 million dollars, just over 6.4 billion kronor, for twelve offshore wind power projects, several media outlets report. Just one project in Northern California is having $427 million in funding withdrawn.

“Wasteful wind projects are using resources that could otherwise be used to revive the US shipping industry,” said Transportation Secretary Sean Duffy in a press release.

At the same time, he is taking a hard line on the Biden administration, which granted large subsidies to green energy.