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Swiss inflation turns negative for first time in four years

In June 2025, Switzerland experienced negative inflation for the first time in four years, with the consumer price index dropping by 0.1% compared to the previous year, as reported by the Federal Statistical Office. This deflationary trend was primarily driven by a significant decrease in prices for various goods and services, including a notable reduction in healthcare costs and a continued decline in energy prices. Despite this, certain sectors like housing and food saw slight price increases. The Swiss National Bank, which had previously raised interest rates to combat inflation, now faces new challenges in managing monetary policy amidst this unexpected economic shift. Economists suggest that this deflation could be a temporary phenomenon but emphasize the need for careful monitoring to prevent a prolonged period of falling prices that could hinder economic growth.

Read the Full Fortune Article at:
[ https://fortune.com/europe/2025/06/03/swiss-inflation-turns-negative-first-time-in-four-years/ ]