We expect core inflation to be 0.4% year-over-year, CPIF inflation to be 0.6% and CPI inflation to be 0.1% in July. From July, the temporary tax reduction on fuel and the temporary subsidy for public transport will take full effect and are the main reason for the remarkably low year-over-year prints. Regarding public transport prices, it is worth noting that Statistics Sweden measures public transport prices in the three largest metropolitan areas and selected additional cities. As the subsidy is paid by the government to the municipalities, the resulting lower prices are not considered a tax effect. The impact will therefore also affect CPIF with constant taxes. Prices for holidayrelated services were unusually high in May and June, and we expect them to remain elevated while following their normal seasonal pattern, rising further in July before declining month-on-month in August.
