Swiss Deflation Deepens in November

Swiss consumer prices declined by 0.3 percent in the year to November 2016, following a 0.2 percent fall in October and worse than market expectations of a 0.2 percent drop. It was the 25th straight month of deflation and the biggest decline in consumer prices since June this year, mainly due to a fall in prices of leisure activities and accommodation.

Compared with November 2015, cost of recreation and culture dropped 0.4 percent, following a 1.2 percent increase in October; and prices of restaurants and hotels dropped 0.1 percent, after showing no growth the previous month. Additional downward pressure came from: Health (-0.6 percent, the same as in October); transport (-1.7 percent from -2.4 percent); miscellaneous goods and services (-1.8 percent, the same as in October); and furnishings and household equipment (-2.7 percent from -1 percent). By contrast, prices of housing and utilities advanced 0.6 percent, following a 0.3 percent gain in the previous month; and cost of food and non-alcoholic beverages went up 0.8 percent, the same as in October.

On a monthly basis, consumer prices fell 0.2 percent, after rising 0.1 percent in October, mainly due to lower prices of recreation and culture (-1.5 percent) while cost rose for housing and utilities (+0.3 percent).

Swiss Federal Statistical Office | Joana Ferreira |
12/6/2016 10:01:13 AM