by George Dorgan
My articles My siteAbout meMy booksMy videos
Follow on:TwitterFacebookGoogle +
CFA SocietySeeking Alpha
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? Neuchâtel, 14 August 2018 (FSO) – The Producer and Import Price Index increased in July
Topics:
George Dorgan considers the following as important: 2) Swiss and European Macro, Featured, newsletter, Switzerland Producer Price Index
This could be interesting, too:
Vibhu Vikramaditya writes Navigating the Slippery Slope: How Hoover’s Interventions Paved the Way for the Great Depression
Ryan McMaken writes Frédéric Bastiat Was a Radical Opponent of War and Militarism
Douglas French writes Millennials: In Costco We Trust
Joseph T. Salerno writes What Fed “Independence” Really Means
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?
| Neuchâtel, 14 August 2018 (FSO) – The Producer and Import Price Index increased in July 2018 by 0.1% compared with the previous month, reaching 103.3 points (December 2015 = 100). The rise is due in particular to higher prices for watches, petroleum and natural gas. Compared with July 2017, the price level of the whole range of domestic and imported products rose by 3.6%. These are some of the findings from the Federal Statistical Office (FSO). |
Switzerland Producer Price Index (PPI) YoY, July 2018(see more posts on Switzerland Producer Price Index, ) Source: Investing.com - Click to enlarge |
Download press release: Producer and Import Price Index rose in July 2018 by 0.1%
German Text:
Produzenten- und Importpreisindex steigt im Juli 2018 um 0,1 ProzentNeuchâtel, 14. August 2018 (BFS) – Der Gesamtindex der Produzenten- und Importpreise erhöhte sich im Juli 2018 gegenüber dem Vormonat um 0,1 Prozent und erreichte den Stand von 103,3 Punkten (Dezember 2015 = 100). Der Anstieg ist vor allem auf höhere Preise für Uhren sowie Erdöl und Erdgas zurückzuführen. Im Vergleich zum Juli 2017 stieg das Preisniveau des Gesamtangebots von Inland- und Importprodukten um 3,6 Prozent. Dies geht aus den Zahlen des Bundesamts für Statistik (BFS) hervor. Für den Anstieg des Produzentenpreisindexes gegenüber dem Vormonat waren vor allem die Uhren verantwortlich. Steigende Preise beobachtete man auch für medizinische und zahnmedizinische Apparate und Materialien sowie elektronische Bauelemente und Leiterplatten. Höhere Preise gegenüber dem Juni 2018 registrierte man im Importpreisindex insbesondere für Erdöl und Erdgas. Teurer wurden auch Möbel und Uhrenbestandteile. Sinkende Preise zeigten hingegen Nichteisen-Metalle und daraus hergestellte Produkte, Geräte und Einrichtungen der Telekommunikationstechnik, Treibstoff, Kern- und Steinobst sowie Gemüse und Kartoffeln. |
|
Tags: Featured,newsletter,Switzerland Producer Price Index