Switzerland's KOF Economic Barometer rose to 103.5 in July 2026 from an upwardly revised 102.1 in June, beating market expectations of 101.0 and reaching its highest level since February. The reading points to improving momentum in the Swiss economy over the coming months. Strength was broad-based across the production side, with indicator bundles for financial and insurance services, other services, construction, and manufacturing all signaling a more favorable outlook. Indicators for foreign demand and private consumption remained broadly stable. Within the production sector, competitiveness, profitability, business conditions, and the assessment of production constraints all improved, but expectations for production activity and intermediate goods inventories softened. Within manufacturing, prospects weakened for the textile industry and the wood, glass, stone, and earth materials segment. The electrical industry and machinery and equipment continued to show stronger momentum.