FX.co ★ Swiss Business Mood Improves in May

In May 2025, the KOF Economic Barometer for Switzerland increased to 98.5, up from 97.1 in the previous month—an eighteen-month low. This surpassed market expectations of 98.4. The rise was largely attributed to robust performance in the production sector, notably in manufacturing. Key indicators within the production industry, which includes manufacturing and construction, showed improvements in general business conditions, exports, production activities, and competitive positioning. Specifically, within manufacturing, there were positive trends in the chemical and pharmaceutical sectors, as well as in the wood, glass, stone, and earth industries, along with food and beverage and paper and printing segments. Conversely, indicators for foreign demand and private consumption on the demand side continued to face challenges.