Switzerland: Manufacturing and services PMIs surge in March
The manufacturing Purchasing Managers’ Index (PMI) produced by Credit Suisse and procure.ch rose from 61.3 in February to 66.3 in March, the second-highest reading on record and moving further above the 50-threshold signaling expansion in the manufacturing sector. The increase was due to faster growth in output, new orders and employment.
Meanwhile, the services sector gained steam, with the PMI rising from 52.0 in February to 55.5 in March thanks to faster growth in business activity and new orders. Moreover, employment declined at a softer rate. The services sector likely benefited from the easing of federal restrictions from 1 March, which included the reopening of shops.
Claude Maurer, head of Swiss macro analysis & strategy at Credit Suisse, stated:
“Switzerland’s heavy dependency on exports and the solid situation in Asia and the US in particular are having a positive effect [on the manufacturing sector] […]. The service sector, which is more focused on domestic consumption, has rallied for the second month in succession. However, momentum in services is considerably lower than that in the manufacturing sector.”