KOF Economic Barometer: Outlook remains at a low level

The economic barometer stands at 89.5 points in November, 1.4 points lower than in October. The negative development of the barometer is primarily driven by indicator bundles for the sector other services. Indicators for the accommodation and food service activities sector and private consumption are also weakening. In contrast, indicator bundles covering foreign demand record a slight positive development.

The picture in the goods producing sector (manufacturing and construction) is mixed. Indicators assessing production capacities, inventories and the competitive situation are the main contributors to the overall negative development. By contrast, indicators assessing the situation for intermediate products, obstacles to production and the order backlog are sending out positive signals.

In the manufacturing sector, indicators for the metals industry send the strongest negative signal, followed by indicators for the wood and paper products sector and for the machinery and vehicle manufacturing sector. By contrast, indicators for the textile industry are sending a relatively strong positive signal. Indicators for the electrical industry are remain virtually unchanged compared with the previous month.