Switzerland: Manufacturing sector perks up in December, but services sector loses steam
January 3, 2020
The manufacturing Purchasing Managers’ Index (PMI) produced by Credit Suisse and procure.ch rose to 50.2 in December from 48.8 in November, marking the highest reading since March and moving back above the 50-threshold that separates contraction from expansion in the manufacturing sector. December’s improvement was driven by a rebound in output and order books. Less positively however, employment contracted somewhat.
The services PMI fell from 51.7 in November to 50.6 in December on weaker growth in business activity and stagnating new orders, although employment picked up.
Looking at average readings for Q4 as a whole, the same picture emerged: the manufacturing sector performed better than in Q3, while momentum in the service sector ebbed. As a result, the economy likely registered only modest growth in the period.
Author: Oliver Reynolds, Economist