Consumer Price Index (CPI), October 2022
Inflation rate was 9.3 percent in October 2022
Statistical news from Statistics Sweden 2022-11-15 8.00
The CPIF (Consumer Price Index with fixed interest rate) 12-month inflation rate was 9.3 percent in October 2022, down from 9.7 percent in September. On a monthly basis, the inflation rate according to the CPIF decreased by 0.1 percent from September to October.
“Electricity prices decreased in October but are still higher than last year”, says Sofie Öhman, statistician at Statistics Sweden
In brief
| Index Numbers |
Monthly changes, percent |
Annual changes, percent |
|
|---|---|---|---|
| CPI (1980=100) | 384.04 | 0.2 | 10.9 |
| CPIF (1987=100) | 248.32 | ‑0.1 | 9.3 |
| CPIF-XE (1987=100) | 229.59 | 0.9 | 7.9 |
- Increased interest expenses contributed with about 1.8 percentage point to the inflation rate according to CPI which amounted to 10.9 percent
- Electricity prices decreased by nearly 24 percent between September and October
- Continued widespread price increases for products such as food and non-alcoholic beverages, in particular vegetables
- Fuel prices increased in October, partly due to the temporary tax reduction ending
- The inflation rate according to CPIF excluding energy increased from 7.4 percent in September to 7.9 percent in October
“The inflation rate according to the CPI was higher than CPIF because of the increased interest rates of mortgages. This effect is eliminated from CPIF. Otherwise, the two measures are similar”, says Caroline Neander, Statistics Sweden
Descending electricity prices
The CPIF decreased by 0.1 percent from September to October. In the corresponding period a year ago, the CPIF rose by 0.2 percent.
The monthly rate of change was affected by increasing fuel prices in October. There were also increases in the prices of food and non-alcoholic beverages, mainly due to price increases for vegetables.
Furnishings and household equipment also noted rising prices together with recreation and culture, where other recreational items and equipment had a positive impact on the monthly rate of change.
The upward contributions to the monthly change were offset by falling prices for electricity.
The table below shows changes on a monthly basis and contributions to the CPIF based on the goods and services that had the greatest impact on the CPIF in October 2022. The results are presented by COICOP category. COICOP refers to the United Nations classification of household consumption expenditure.
| Category (Coicop) | Monthly changes, percent |
Contribution to CPIF Monthly change, percentage points |
|---|---|---|
| Food (01.1) | 1.5 | 0.2 |
| Vegetables (01.1.7) | 3.7 | 0.1 |
| Electricity (04.5.1) | ‑23.6 | ‑1.3 |
| Furnishings and household equipment (0.5) | 1.1 | 0.1 |
| Fuels (07.2.2) | 12.9 | 0.4 |
| Recreation and culture (09) | 2.3 | 0.3 |
Seasonal patterns and temporary price changes
Price changes on goods and services may be seasonal or temporary. The figure above shows the monthly changes this year and in the two preceding years for those goods and services which had the largest impact on the CPIF monthly change.
Food prices rose in October this year. Rising vegetable prices explains a relatively large part of the rise in food prices. They both largely follow a similar pattern with a slightly larger rise in prices in October this year compared to the corresponding period a year ago. In October 2020 the food prices did not change while the vegetable prices rose marginally.
Unlike the food prices the electricity prices fell in October this year, as they did in the corresponding period the two previous years. The price decrease of 24 percent this year is larger compared to last year and even greater than October 2020.
Furniture and household equipment display varying price changes, where prices increased in October this year. During the same period last year, the prices fell marginally and in October 2020 the prices increased slightly. Fuel prices rose more now in October than in the corresponding period last year. In October 2020 fuel prices fell.
Prices of recreation and culture have risen in October for the past three years, the monthly change has also become somewhat larger with each passing year between 2020 and 2022.
Decreasing inflation rate in October
The inflation rate according to CPIF, that is, the change in CPIF from the same month of the previous year, was 9.3 percent in October 2022. This is a decrease from September when the inflation rate was 9.7 percent.
Rising prices on food and non-alcoholic beverages had an impact on the inflation rate. The main contributions within this group came from price increases on meat, milk, eggs, cheese, bread and cereal products. Transport also noted a positive annual rate where a large part of the contribution came from increased fuel prices, as well as rising prices for cars.
Rising prices for electricity, gas and other fuels had a major impact on the housing costs together with increasing costs of maintenance and repair of the dwelling. Also, rising prices for recreation and culture, furnishings and household equipment, restaurant visits, personal care and clothing contributed to the rate of inflation.
The inflation rate according to the CPI, which unlike CPIF is affected by changes in interest rates, was 10.9 percent in October. This is an increase compared to September when it was 10.8 percent. The inflation rate calculated excluding energy products (CPIF-XE) was 7.9 percent in October, which is an increase compared to September when it was 7.4 percent.
| Category (Coicop) | Yearly change, percent |
Contribution yearly change CPIF percentage points |
|---|---|---|
| Food and non-alcoholic beverages (01) | 17.2 | 2.4 |
| Clothing (03.1) | 6.9 | 0.2 |
| Housing (04) | 8.3 | 2.0 |
| Electricity and household fuel (04.5) | 25.6 | 1.0 |
| Maintenance and repair of the dwelling (part of 04.x) | 10.7 | 0.3 |
| Furnishings and household goods (05) | 15.0 | 1.1 |
| Furniture (05.1) | 19.0 | 0.5 |
| Transport (07) | 11.5 | 1.7 |
| Cars (07.1.1) | 8.9 | 0.5 |
| Fuels (07.2.2) | 32.7 | 0.9 |
| Recreation and culture (09) | 5.0 | 0.6 |
| Restaurants (11.1) | 8.9 | 0.5 |
| Personal care (12.1) | 9.5 | 0.3 |
Different measures of inflation
Statistics Sweden calculates different inflation measures for different purposes. The CPIF is the Riksbank’s target variable, while the CPI is the measure used for purposes of compensation.
Definitions and explanations
The CPIF shows the same price trend as the CPI, but without the direct effects of a changed monetary policy. The CPIF is the Riksbank’s target variable for the inflation target.
The CPIF excluding energy (CPIF-XE) and the CPIF with constant tax (CPIF-CT) are two other measures of inflation produced by Statistics Sweden on behalf of the Riksbank. In the CPIF-XE, energy products are excluded from the CPIF, while in the CPIF-CT the taxes and subsidies associated with the products in the CPIF are kept constant.
The HICP (Harmonised Index of Consumer Prices) is produced by all EU Member States. This measure has a somewhat smaller coverage than the CPI and the CPIF, mainly because parts of households’ housing costs are omitted.
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2022-12-14 at 8:00.
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