Switzerland: Economic sentiment dwindles in October
The KOF economic barometer—a leading composite indicator for the Swiss economy forecasting a six-month period—dipped to 100.1 points in October from a revised 102.3 points in September (previously reported: 102.2 points). Consequently, the index currently lies a hair above the series’ long-run average of 100 points, suggesting the economy should expand close to its ten-year average rate in the short-term.
The drop in October came on the back of deteriorating sentiment across several sectors. The manufacturing sector experienced the most notable decline, driven by firm’s less upbeat assessment of competition, the general business situation, the labor market and new orders. Moreover, sentiment in the financial and export-orientated sectors also deteriorated slightly in October, whereas the remaining sectors had slightly positive or neutral opinions of future economic conditions.