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The Economic Tendency Indicator is a monthly composite index that provides a comprehensive overview of the Swedish economy's sentiment. It aggregates survey data from manufacturing, services, retail trade, and construction sectors, along with consumer confidence levels. A value above 100 indicates a stronger-than-normal economic sentiment, while a value below 100 suggests a weaker outlook. It is widely used by analysts to predict turning points in the business cycle and GDP growth.
The indicator is calculated as a weighted average of the standardized results from qualitative surveys across five sectors. The data is seasonally adjusted and normalized to have a mean of 100 and a standard deviation of 10.