(RTTNews) - Friday, the KOF economic institute said the Switzerland’s economic barometer rose to 1.45 points in October from a revised 0.77 in September. Economists were expecting the index to climb to 1.16. According to the barometer, the annual growth rate of GDP should be about to return into positive territory.

“Business confidence indicators have recently turned bullish in Switzerland,” ING economist Julien Manceaux said. “However, consumers may not follow this trend given the worsening labor market conditions and the drop in confidence registered in October.”

If the third quarter turns out to be the best of this year, the economist said, the rebound may fade towards the end of the year before leaving space for a more gradual recovery from the first quarter of 2010 on. “The still fragile recovery combined with lingering deflation will ensure that the current expansionary monetary stance remains unchanged until the second half of next year.”

For comments and feedback: contact editorial@rttnews.com

Copyright(c) 2009 RTTNews.com, Inc. All Rights Reserved

Posted in Categories: Economy, Releases, Switzerland.

Subscribe by RSS Subscribe by Email