Switzerland KOF Economic Barometer Slips in January

Switzerland’s KOF Economic Barometer declined to 102.5 in January 2026, down from an upwardly revised 103.6 in December and below market expectations of 103.0. The slowdown was driven mainly by weaker indicator bundles for hospitality and construction. In contrast, indicator bundles for manufacturing and financial and insurance services showed improvement. Within the broader producing sector, which includes manufacturing and construction, employment expectations, assessments of production constraints, as well as profit, and export indicators remained under pressure. However, the outlook for the general business situation and competitive conditions improved. Manufacturing signals were mixed overall. Indicators for the electrical industry and the wood, glass, stone, and earth segment weakened, while indicators for machinery and equipment, the metal industry, and paper and printing products pointed to a more upbeat outlook.