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Swiss Producer and Import Price Index in October 2019: -2.4 percent YoY, -0,2 percent MoM

Summary:
The Producer Price Index (PPI) or officially named “Producer and Import Price Index” describes the changes in prices for producers and importers. For us it is interesting because it is used in the formula for the Real Effective Exchange Rate. When producers and importers profit on lower price changes when compared to other countries, then the Swiss Franc reduces its overvaluation. The Swiss PPI values of -6% in 2015 (see below), compared to -3% in Europe or -1% in the U.S., diminished the overvaluation. In 2017, however, producer prices are rising again – in both Europe and Switzerland. See more in Is the Swiss Franc overvalued? 14.11.2019 – The Producer and Import Price Index fell in October 2019 by 0.2% compared with the previous month, reaching 100.9 points

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The Producer Price Index (PPI) or officially named “Producer and Import Price Index” describes the changes in prices for producers and importers. For us it is interesting because it is used in the formula for the Real Effective Exchange Rate. When producers and importers profit on lower price changes when compared to other countries, then the Swiss Franc reduces its overvaluation. The Swiss PPI values of -6% in 2015 (see below), compared to -3% in Europe or -1% in the U.S., diminished the overvaluation. In 2017, however, producer prices are rising again – in both Europe and Switzerland. See more in Is the Swiss Franc overvalued?

14.11.2019 – The Producer and Import Price Index fell in October 2019 by 0.2% compared with the previous month, reaching 100.9 points (December 2015 = 100). Compared with October 2018, the price level of the whole range of domestic and imported products fell by 2.4%. These are some of the findings from the Federal Statistical Office (FSO).

Switzerland Producer Price Index (PPI) YoY, October 2019

(see more posts on Switzerland Producer Price Index, )
Swiss Producer and Import Price Index in October 2019: -2.4 percent YoY, -0,2 percent MoM

Source: investing.com - Click to enlarge

Download press release: Producer and Import Price Index fell by 0.2% in October 2019

German Text:

Produzenten- und Importpreisindex sinkt im Oktober 2019 um 0,2%

14.11.2019 – Der Gesamtindex der Produzenten- und Importpreise sank im Oktober 2019 gegenüber dem Vormonat um 0,2% und erreichte den Stand von 100,9 Punkten (Dezember 2015 = 100). Im Vergleich zum Oktober 2018 ging das Preisniveau des Gesamtangebots von Inland- und Importprodukten um 2,4% zurück. Dies geht aus den Zahlen des Bundesamts für Statistik (BFS) hervor.

Für den Rückgang des Produzentenpreisindexes gegenüber dem Vormonat waren vor allem die tieferen Preise für Schrott verantwortlich. Billiger wurden auch Elektromotoren, Generatoren und Transformatoren, Metallprodukte, Gas sowie Bestrahlungs-, Elektrotherapie- und elektromedizinische Geräte. Steigende Preise beobachtete man dagegen für Mineralölprodukte.

Tiefere Preise gegenüber dem September 2019 registrierte man im Importpreisindex insbesondere für Erdöl und Erdgas sowie Maschinen. Preisrückgänge zeigten auch Geräte und Einrichtungen der Telekommunikationstechnik, Metallprodukte, Frischgemüse, Computer und periphere Geräte sowie Stahl. Preiserhöhungen beobachtete man hingegen vor allem für Mineralölprodukte. Teurer wurden auch elektrische Haushaltsgeräte und Nickel.

Swiss Producer and Import Price Index in October 2019: -2.4 percent YoY, -0,2 percent MoM

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Swiss Producer and Import Price Index in October 2019: -2.4 percent YoY, -0,2 percent MoM


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George Dorgan
George Dorgan (penname) predicted the end of the EUR/CHF peg at the CFA Society and at many occasions on SeekingAlpha.com and on this blog. Several Swiss and international financial advisors support the site. These firms aim to deliver independent advice from the often misleading mainstream of banks and asset managers. George is FinTech entrepreneur, financial author and alternative economist. He speak seven languages fluently.

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