Remain, UBS consumption indicator suggests

The UBS Swiss consumption indicator rose to 1.38 points in June from a downwardly revised 1.32 in May, the Swiss bank's economists said on Wednesday. 

"UBS consumption indicator printed 1.38 in June, pointing to subdued growth in Swiss private consumption in recent months. Relatively weak growth in employment was much to blame for the lackluster number, however this was offset somewhat by robust new car registrations data and overnight hotel stays by Swiss nationals" the noted reported.

"We expect employment growth rates to pick up during the course of the year, which should support consumption. Somewhat offsetting weak employment data, new car registrations rose 2.1 percent year-on-year in June" the statement reported.

Further, hotel overnight stays by Swiss nationals increased by 2.4% year-on-year. The mood also improved in the retail sector, although it started from a low base, the bank added. Private household consumption is forecast to grow by 1.3% in 2017.

The UBS Consumption Indicator signals private consumption trends in Switzerland with a lead time of one to three months on the official figures. At more than 50 percent, private consumption is by far the most important component of Swiss GDP. This indicator is a combined reading of five indicators, including consumer confidence, consumer spending, tourism, new car sales, and retail activity.

With the exception of the consumer sentiment index and employment figures, all of this data is available monthly.