Key facts
- Switzerland's annual CPI was 0.6% in May, unchanged from April.
- Monthly CPI increased by 0.2% in May, below the expected 0.3%.
- Core annual inflation remained at 0.3% in May.
- Housing rentals, hotel prices, and fuel costs drove the monthly increase.
Switzerland's annual inflation rate held steady at 0.6% in May, consistent with the previous month's reading. The monthly increase in the Consumer Price Index (CPI) was 0.2%, falling short of the 0.3% forecast. This modest monthly rise was attributed to higher housing rentals, increased hotel sector prices, and rising costs for petrol, car rentals, and car sharing.
The core inflation rate, which excludes volatile items like energy and food, saw a 0.1% increase on a monthly basis. Annually, the core CPI remained unchanged at 0.3%. Despite some upward price pressures from energy costs, the overall inflation outlook for Switzerland is not expected to shift significantly in the near term, especially given the low starting base.