Switzerland: Consumer prices continue to fall in November
December 7, 2012
In November, consumer prices fell 0.3% over the previous month, which contrasted the 0.1% increase recorded in October and was below market expectations, which had consumer prices remaining flat. According to the statistical institute, lower prices for transport as well as for food and non-alcoholic beverages were the main contributors to the monthly decline.
As a result of the monthly drop, consumer prices fell 0.4% over the same month last year, which was below the 0.2% decline recorded in October. The reading marked the 14th consecutive month of annual deflation and currently sits well below the Swiss National Bank's 2.0% inflation target. The Swiss Statistics Office expects consumer prices to fall 0.7% this year. For 2013, the Office sees inflation rising to 0.2%, which is down from its previous 0.5% estimate.
Author: Ricardo Aceves, Senior Economist