Beyonce concerts in Stockholm linked to inflation in Sweden

American pop singer Beyonce performed at two concerts in Stockholm last month and Swedish economists think this has led to higher-than-expected inflation.

According to a report in New York Times, music lovers from across the world flying into the Scandinavian city influenced hotel and restaurant bookings. With around 46,000 people arriving, hotels in the capital city were full and people had to stay outside the city.

"Beyonce is responsible for the extra upside surprise this month. It's quite astonishing for a single event. We haven't seen this before," said Michael Grahn, Danske Bank's chief economist in Sweden to Finance Times. He later tweeted: "Beyonce's start of her world tour in Sweden seems to have coloured May inflation, how much is uncertain, but probably 0.2 p.p. of the 0.3 p.p that hotels/restaurants added. Perhaps also hiked concert ticket prices."

A BBC report said that Sweden in May reported 9.7% inflation and 10.5% in April.

A broad set of goods and services, for instance, hotel and restaurant visits and recreational services were responsible as per data from Statistics Sweden. "Additional contributions to the positive inflation rate came from clothing, household goods, recreational services, hotel, and restaurant visits, as well as miscellaneous goods and services," said government data.

Experts think the situation will go back to normal in June. However, a similar inflation bump may happen in June as well when Bruce Springsteen plays three nights of concerts in Gothenburg.