The state Photo: Jessica Gow/Scanpix

Analysts say more jobs means less chance of Central Bank interest rate cut

Steady unemployment figures mean mortgage holders should not expect an interest rate cut by the Swedish Central Bank, say economists contacted by news agency TT.

The latest figures show no change in the unemployment statistics compared with the same period last year, with 7.2 percent of the workforce out of work. However, the number of employed people continues to rise. At 4.905 million it is up 66,000 compared to July 2012.

That could mean that unemployment has reached its peak, according to Nordea bank analyst Torbjörn Isaksson. That also means there is less chance of the Central Bank cutting interest rates to stimulate the economy.

Employment Minister Hillevi Engström is also cautiously optimistic, telling news agency TT the new figures from Statistics Sweden "... seem to indicate a slightly better situation."

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