KOF Economic Barometer: Prospects now only slightly above average
In July, the KOF Economic Barometer moves closer to its medium-term average level, after having been somewhat more clearly above it during the spring quarter. The Swiss economy is likely to continue to grow at a rather moderate pace in the near future.
In July, the KOF Economic Barometer drops by 1.7 points to 101.0 points (after 102.7 in June). Although this decline is not unanimous in the indicators, it is very widely visible. Above all, the outlook for both foreign demand and consumer demand is worsening. However, the indicator bundles for developments in the hospitality industry, construction, other services and manufacturing also show negative developments in July. The indicators for the financial and insurance services sector resist the widespread downward tendency with an increase.
In the producing sector (manufacturing and construction), the sub-indicators for the order situation, capacity utilisation and production activity in particular are dampening the development. In contrast, the sub-indicators for inventories and orders of primary products and the competitive situation cushion the decline somewhat.
Within the manufacturing industry, the outlook for electrical industry, the wood, glass, stone and earth segment and machinery and equipment manufacturing in particular are clouding over. In contrast, the outlook for the metal industries, the textile and clothing industry and the paper and printing industry is more favourable than before.
