FX.co ★ Swiss Business Confidence Lowest in 20 Months

In June 2025, the KOF Economic Barometer in Switzerland declined to 96.1 from 98.6 in the previous month, falling short of market expectations of 99.3. This represents the lowest figure since October 2023, driven mainly by unfavorable trends in most indexed groups, with the manufacturing sector being notably impacted. Within the producing industries, which include both manufacturing and construction, sub-indicators such as the general business situation, production levels, accumulation of intermediate goods, order backlogs, and stocks of finished products all exhibited largely negative patterns. Specifically, in manufacturing, significant weaknesses were identified in segments like wood, glass, stone and earth, the chemical and pharmaceutical industries, and the metal industry. Despite these challenges, the indicator for foreign demand presented an optimistic outlook for the month.