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Swiss Economic Indicator Gained in March, KOF Institute Says

Switzerland’s KOF economic indicator increased in March, adding to signs the economy is regaining some strength.

The monthly gauge, which aims to predict the economy’s direction about six months ahead, rose to 0.08 from a revised minus 0.11 in February, the KOF Swiss Economic Institute in Zurich said in an e-mailed statement today. Economists forecast a gain to 0.07, the median of 16 estimates in a Bloomberg News survey showed.

“We might see further gains in the indicator in coming months,” said Martin Gueth, an economist at Landesbank Baden-Wuerttemberg in Stuttgart, Germany. “However, there won’t be a surge as the Swiss economy is merely stabilizing.”

Switzerland’s economy is showing signs of improvement as exports are resisting flagging global demand and as private spending is holding up. Foreign sales gained more than expected in February and the Swiss central bank this month said “there are growing indications” that the economy “is stabilizing.”

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