2010.08.3103:12:00UTC+00Swiss UBS Consumption Indicator Continues To Rise In July

The UBS Consumption Indicator for Switzerland continued to rise in July, increasing to a value of 1.86 from its June level of 1.80.

Among the five sub-indicators of the consumption index, a high number of new car registrations contributed to the increase in July. In June, new car registrations logged record growth.

Business activity in the retail sector improved considerably, but is still at a relatively low level. The other components of the consumption indicator, the number of domestic overnight stays in hotels by Swiss citizens, the consumer sentiment index and credit card transactions via UBS at points of sale in Switzerland, also contributed to its overall rise.

The UBS said it expects the second quarter national accounts figures to be very encouraging. The State Secretariat for Economic Affairs is due to release figures on September 2.

The growth rate of private consumption may well reach the magnitude of the first quarter, that means an increase of 2.2% year-on-year. The UBS consumption indicator is still clearly below this level and should thus continue to rise in the coming months, the bank said.

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