Swiss Inflation Hits 2-Year High on Rising Petroleum Costs

Switzerland's annual inflation rate rose to 1% in September, marking a two-year high. This increase is attributed to higher petroleum prices, which added to consumer price pressures, according to figures released by the Federal Statistical Office.

The rise in petroleum costs was partly offset by lower prices for clothing and footwear. Core inflation, excluding volatile items like energy, increased to 0.5% from 0.4%, marking its second consecutive monthly rise.

Under the harmonized European methodology, Switzerland's annual inflation rate stood at 1.2% in September.

The Swiss National Bank (SNB) left its policy rate unchanged at zero on Sept. 24 and attributed the recent acceleration in inflation primarily to higher energy prices. It also stated that the weakening Swiss franc had contributed to a slightly higher medium-term inflation forecast.