Tweaking our forecast for Switzerland

With recent data suggesting that the Swiss economy is holding up better than we had anticipated, we now think GDP will be unchanged in 2023 compared to this year. That would still imply a weaker performance than the consensus forecast which is an expansion in GDP of 0.7% in 2023. Next week we expect to learn that Norway’s headline CPI inflation remained at a 35-year high of 7.5% while the core rate was probably little changed, at 6%. This should pave the way for the Norges Bank to raise rates by 25bp in December.