Consumer inflation in Switzerland spiked in October to its highest level in almost three years, reaching 1.5% year‑on‑year versus 1.0% in September, Bloomberg reports, citing data from the Federal Statistical Office. The main drivers of the faster price growth were the global rally in energy prices and a prior weakening of the national currency.
Although the current reading still sits within the Swiss National Bank’s 0–2% target range, it has notably exceeded the regulator’s official Q4 forecast of 1.2%. The release of the fresh macroeconomic data sparked a rally in FX markets: the franc strengthened to a five‑month high against the euro amid the inflation pickup.
The primary inflationary pressure comes from the energy sector. At the end of September, the diesel price at Swiss petrol stations hit a record high of CHF 2.41 (about $2.90) per liter, rising 11 centimes in one week. Previously, prices had been stuck at a historic peak of CHF 2.40/liter since early 2022, when prices surged amid a geopolitical shock in Eastern Europe.
