Switzerland's 10-year government bond yield rose above 0.44%, the highest level since late July, amid growing inflation concerns. Swiss inflation doubled to a two-year high of 0.8% in August, as the conflict in the Middle East continues to escalate and push fuel prices higher amid concerns of further energy supply disruptions. Despite the challenges, Swiss quarterly economic growth was confirmed at 1.5%, its highest level in nearly five years, as a weaker swiss franc supported exports and helped lift the trade surplus to a record high. Both readings raised prospects of an earlier hike by the Swiss National Bank. Previously, a Swiss Bankers Association survey showed that all bankers expect the SNB to keep its policy rate at 0% by year-end. Markets anticipated the first rate hike in June 2027, later than the previous March expectation, while most economists expect the first hike in early 2028.