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Switzerland Producer and Import Prices Tumble Lower, Further Easing to Follow
Monday, 13 October 2008 07:36:31 GMT  |  David Song, Currency Analyst
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Producer and import prices in Switzerland fell 0.5% in September for the second conseuctive month, which was much greater than the 0.3% decline projected by economists. On an annual basis, the index slipped to 3.7% from 4.0% in August, indicating that upside price pressures have diminished on the back of falling commodity prices. Lower inflation suggets that the SNB may have more room to focus on growth over the coming months as economic activity deteriorates throughout Europe, and may lead the central bank to lower the benchmark interest rate further as the Euro-Zone teeters on the brink of a recession.

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