ZEW-CS Financial Market Test Switzerland - Economic Expectations Decrease

In September 2014, the economic expectations for Switzerland have declined by 10.2 points. Thus the ZEW-CS Indicator now stands at a level of minus 7.7 points. This is its first negative reading since January 2013. The slightly negative level suggests that financial analysts expect Switzerland's economic performance to decline. The ZEW-CS Indicator reflects the expectations of the surveyed financial market experts regarding the economic development in Switzerland on a six-month time horizon. It is calculated monthly by the Centre for European Economic Research (ZEW), Mannheim, in cooperation with Credit Suisse (CS), Zurich.

This month, many analysts surveyed by the ZEW, who still expected a stable economic environment back in August, now turned down their expectations towards a blurring of the Swiss economy over a six month time horizon. It is likely thatthe poor quarterly estimates for the gross domestic product in Q2 issued by the SECO (the State Secretariat for Economic Affairs) at the beginning of this month contributed to this decline in expectations.

The current economic situation is also evaluated less favourably compared to the August reading. The index assessing the economic situation in Switzerland deteriorates by 19.4 points to a level of 25.6 points. A comparable reading has the last time been seen in July 2013. The change in the index is driven by a share of about 20 per cent of analysts who changed their assessments from "good" to "normal". Not one among the analysts currently considers the economic situation to be "bad".

More detailed results - including survey participants' assessment of developments in other countries - can be found in this month's edition of the "Switzerland Financial market report".

For further information please contact

Lena Jaroszek (ZEW), Telefon +49 (0)621 1235-380, E-Mail jaroszek@zew.de

Lukas Gehrig (Credit Suisse), Telefon +41 44 333 52 07, E-Mail lukas.gehrig@credit-suisse.com