Switzerland Inflation Rate at 6-Month Low of 0.6%

Consumer prices in Switzerland increased 0.6 percent year-on-year in February of 2018, easing from a 0.7 percent rise in the previous month and matching market expectations. It is the lowest inflation rate in six months, mainly due to a slowdown in cost of housing and energy and a fall in food prices.

Inflation eased for housing and utilities (1 percent compared to 1.3 percent in January) and restaurants and hotels (0.5 percent compared to 0.6 percent) and prices fell for food and non-alcoholic beverages (-0.4 percent compared to 1 percent in January) and health (-1 percent vs -0.9 percent). In contrast, inflation accelerated for transport (1.3 percent compared to 0.6 percent) and recreation and culture (2.4 percent comapred to 1.4 percent).

Annual core inflation, which strips out volatile price components like food, beverages, tobacco, seasonal products, energy and fuel, was flat at 0.5 percent in February, the same as in the previous month.

On a monthly basis, consumer prices rose 0.4 percent, rebounding from a 0.1 percent drop in January. Main upward pressure came from higher prices for air transportation; package tours abroad and clothing and footwear after the end of the seasonal sales. In contrast, prices went down for fuel, coffee and hotels. 

Switzerland Inflation Rate at 6-Month Low of 0.6%

Swiss Federal Statistical Office | Joana Taborda | joana.taborda@tradingeconomics.com
3/6/2018 8:43:37 AM