| Actual | Previous | |
|---|---|---|
| Level | -37 | -40 |
Highlights
Swiss consumers remain negative in September. The index of consumer confidence fell to minus 37, up from minus 40 in August, expressing some improvement in future economic developments.
The outlook for the economy fell to minus 66 in August; however rose to minus 58 in September.
On the best time to purchase big-ticket items, consumers were broadly unchanged, with the index rising to minus 25 in September from minus 24 the month. Conversely, expectations for making a major purchase in the future fell to minus 53 from minus 55 in August.
Pessimism about job security fell to new lows. At minus 57, that component fell to its lowest reading since at least January 2023, from minus 49 in August. Still, consumers expect the unemployment rate to fall slightly. With a reading of 64 in September, up from 65 in August, the result is more than double the long-term average of 31.
Due to the US tariff, consumers are downbeat and likely to remain so absent either a trade agreement with the US or the US Supreme Court agreeing with an appeals court that most of the tariffs are illegal.
The outlook for the economy fell to minus 66 in August; however rose to minus 58 in September.
On the best time to purchase big-ticket items, consumers were broadly unchanged, with the index rising to minus 25 in September from minus 24 the month. Conversely, expectations for making a major purchase in the future fell to minus 53 from minus 55 in August.
Pessimism about job security fell to new lows. At minus 57, that component fell to its lowest reading since at least January 2023, from minus 49 in August. Still, consumers expect the unemployment rate to fall slightly. With a reading of 64 in September, up from 65 in August, the result is more than double the long-term average of 31.
Due to the US tariff, consumers are downbeat and likely to remain so absent either a trade agreement with the US or the US Supreme Court agreeing with an appeals court that most of the tariffs are illegal.
Definition
The State Secretariat for Economic Affairs (SECO) compiles a quarterly survey of consumer attitudes on present and expected economic and financial conditions. The survey covers around 1,200 Swiss households and results are synthesised into a single summary consumer climate index that attempts to measure consumer sentiment.
Description
The pattern in consumer attitudes and spending is often a major influence on stock and bond markets. For stocks, strong economic growth translates to healthy corporate profits and higher stock prices. For bonds, the focus is whether economic growth goes overboard and leads to inflation. Ideally, the economy walks that fine line between strong growth and excessive (inflationary) growth. Consumer spending accounts for a major portion of the Swiss economy, so investors want to know what consumers are up to and how they might behave in the near future. The more confident consumers are about the economy and their own personal finances, the more likely they are to spend. An increasing important element of the survey is the question concerning current buying intentions.
