Swiss producer prices rose, economic expectations cede

Note: This section contains information in English only.
Source: Dukascopy Bank SA
"The inflation path is being shifted down, but overall the picture stays the same" 
-Alexander Koch, an economist at UniCredit

Producer and imports prices in Switzerland rose slightly in April from a month earlier, and fell less than initially was predicted on a yearly basis, reflecting that manufacturers are less worried about future economic performance of the country. According to the Federal Statistics, the prices of domestically produced and imported goods increased 0.2% last month, compared with a flat reading in March, outpacing expectations of a 0.2% contraction. On a yearly basis, prices edged down 0.1%, with a rate of decline slower than the 0.3% fall forecast by economists. 

"The inflation path is being shifted down, but overall the picture stays the same," said Alexander Koch, an economist at UniCredit. "Since the cap was set in 2011, their stance has been relatively unchanged."

Also Wednesday a report from Centre for European Economic Research (ZEW) and Credit Suisse showed that the indicator of economic expectations fell by 17.8 points to a level of 2.2 points in May. Despite the drop, the assessment of the current economic situation improves mildly by 5.0 points to 20.0, with around 80.0% of respondent finding the current situation as normal. 

© Dukascopy Bank SA

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