Data published by the Federal Statistical Office (FSO) showed that in September consumer prices rose by 0.8% per year after an increase of 1.1% in July. Economists expected an increase of 1.1% per annum. The latest reading was the lowest since July 2021, when inflation rose by 0.7% per annum.
On a monthly basis, consumer prices fell 0.3% after remaining unchanged in August. The latest decline was the sharpest since April 2020. Consensus estimates suggested a 0.1% drop. The FSO reported that the drop is due to several factors including lower prices for international package holidays, for complementary accommodation and for air transport. Prices also decreased for petrol, heating oil and diesel. In contrast, clothing and footwear recorded a price increase, as did berries and fruiting vegetables.
Core inflation - excluding fresh and seasonal products, energy and fuel – fell by 0.2% on a monthly basis and rose by 1.0% per year.
The data also showed that in September, the harmonized index of consumer prices (HICP) - an indicator that allows to compare inflation in Switzerland with inflation in European countries – decreased by 0.3% compared to August and increased by 0.9% per year.