Switzerland's Inflation Rate Hits Two-Year High

Switzerland's inflation rate rose to a two-year high in September due to higher oil prices and a weaker franc, according to data from the Federal Statistical Office. The consumer price index increased by 1% compared to the same period last year, matching the median estimate of economists surveyed by Bloomberg.

The reading is consistent with the Swiss National Bank's forecast for the quarter and falls within the bank's target range of 0-2%. Officials see most of the acceleration as temporary and have stated that medium-term pressures increased only slightly.

Core inflation, which excludes volatile elements such as energy, ticked up to 0.5% from 0.4%, marking the second increase in a row. The Swiss data contrast with the surrounding euro area, where price growth reached a three-year high last month due to the fallout from the Iran war.