Tag Archives: Swiss Macro

We do not like Purchasing Power or Real Effective Exchange Rate (REER) as measurement for currencies. For us, the trade balance decides if a currency is overvalued. Only the trade balance can express productivity gains, while the REER assumes constant productivity in comparison to trade partners. Who has read Michael Pettis, knows that a rising trade surplus may also be caused by a higher savings rate while the trade...

Neuchâtel, 15.05.2017 (FSO) – In 2015 approximately 570 000 people were affected by income poverty in Switzerland. Just under 145,000 of these were employed. The groups most affected were persons living alone or in single parent households with minor children, persons with no post-compulsory education and those living in households where no-one works. The poverty rate has hardly changed when compared with the previous...

Neuchâtel, 15.05.2017 (FSO) – In 2015 approximately 570 000 people were affected by income poverty in Switzerland. Just under 145,000 of these were employed. The groups most affected were persons living alone or in single parent households with minor children, persons with no post-compulsory education and those living in households where no-one works. The poverty rate has hardly changed when compared with the previous...

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...

The consumer price index (IPC) increased by 0.2% in April 2017 compared with the previous month, reaching 100.9 points (December 2015=100). Inflation was 0.4% compared with the same month the previous year. These are the results of the Federal Statistical Office (FSO). Switzerland Consumer Price Index (CPI) YoY, April 2017(see more posts on Switzerland Consumer Price Index, ) Source: investing.com - Click to enlarge...

Unemployment Rate (not seasonally adjusted) Registered unemployment in April 2017 – At the end of April 2017, 146,327 unemployed persons were registered with the Regional Employment Services Centers (RAV), according to the SECO surveys, 5,953 less than in the previous month. The unemployment rate thus fell from 3.4% in March 2017 to 3.3% in the reporting month.  Switzerland Unemployment Rate Not Seasonally Adjusted,...

Risks to the Swiss property market remained elevated in the three months through September, according to UBS Group AG’s quarterly index. “While the buy-to-rent price ratio reached an all-time high, moderate mortgage growth and the slightly-improved economy prevented imbalances in the owner-occupied housing market from widening,” it said in a report. Major Findings The UBS Swiss Real Estate Bubble Index remained in the...

Bern, 04.05.2017 – With an index value of -8 points, Swiss consumer sentiment in April 2017 is virtually at its long-term average, having been slightly more optimistic in January (-3 points). While expectations for overall economic developments are above average in April, they are less positive than they were in January. Expectations concerning the financial situation and savings possibilities of domestic households...

The Used Goods Question Retail sales in several countries like Germany, Japan and Switzerland continue to fall or they remain steady for years. In the United States they have strongly risen recently. We should remind readers, that used goods sold via Ebay or similar, are not contained in this statistics. Still they create economic value for the purchases. By mentality, Swiss, Germans or Japanese pay more attention so...

Neuchâtel, 28.04.2017 (FSO) – The Swiss nominal wage index rose by +0.7% on average in 2016 compared with 2015. It settled at 100.7 points (base 2015 = 100). Given a negative average annual inflation rate of -0.4%, real wages registered an increase of +1.1% (101.1 points, base 2015 = 100) according to calculations by the Federal Statistical Office (FSO). Development of nominal wages to the consumer prices and real...