Switzerland’s consumer prices continued to fall albeit at a slower than expected pace in May, the Federal Statistical Office reported Tuesday.

Consumer prices declined 1.2 percent year-on-year in May, slightly faster than a 1.1 percent fall seen in the prior month but slower than an expected decline of 1.3 percent.

This was the seventh consecutive fall in consumer prices and a similar rate of decline was last seen in July 2009. The Swiss National Bank forecast consumer prices to fall 1.1 percent this year.

Month-on-month, consumer prices gained 0.2 percent, offsetting a 0.2 percent fall in April. Economists had forecast a 0.1 percent rise for May.

Costs of food and beverages declined 1.2 percent from last year, while alcoholic beverages prices edged up 0.1 percent. At the same time, clothing and footwear prices dropped 0.6 percent and housing and energy prices slid 0.3 percent.

The material has been provided by InstaForex Company – www.instaforex.com