In the wake of rising inflation and the Russia-Ukraine war, Switzerland’s government downgrades the country’s GDP forecasts for this year.
Key details
Swiss government sees 2022 GDP (sport event adj) growth at +2.8% (previous forecast was +3.0%).
Swiss government sees 2023 GDP growth at +2.0% (previous forecast was +2.0%).
Swiss government sees 2022 CPI at +1.9% (previous forecast was +1.1%).
Swiss government sees 2023 CPI at +0.7% (previous forecast was +0.7%).
Swiss government sees higher inflation and the Ukraine conflict slowing the pace of recovery.
The pandemic situation has improved faster than anticipated.
Market reaction
USD/CHF was last seen trading at 0.9352, up 0.09% on the day. The improvement in the market sentiment has decreased the safe-haven demand for the US dollar, sending USD/CHF lower from 2022 highs of 0.9365 reached earlier in the day.