Swiss CPI Unchanged in August, YoY Inflation Declines 0.5%, Swiss Still Weaker - 5.9.2012

Consumer Price Index for Switzerland, a measure of inflation remained unchanged in August in monthly terms compared to a 0.5 per cent drop in July, according to the Swiss Federal Statistical Office. Market consensus was for an increase by 0.1 per cent on monthly basis however it remained unchanged. In annual terms the CPI declined by 0.5 per cent in comparison with a 0.7 per cent drop in July, being in negative reading since September 2009. Economists were expecting the annual CPI to drop by 0.4 per cent in August. The US dollar has been strengthening against the Swiss franc in the intraday yesterday and was limited at weekly highs around 0.9591. The Swiss franc has been weakening due to weaker GDP and PMI figures earlier this week and continues after the CPI data.