01.06.201706:25:00UTC+00Swiss Factory Growth Solid Despite Drop In PMI

Swiss manufacturing growth unexpectedly slowed in May, but the pace of expansion remained strong, survey data from Credit Suisse and the logistics association procure.ch showed Thursday.

The procure.ch Purchasing Managers' Index dropped to 55.6 from 57.4 in April. Economists had forecast a score of 57.8.

A PMI score above 50 suggests growth in the sector and the latest reading, which was the lowest since January, remained above its long-term average of 53.7 points.

The decline in the index was led by the sharp fall in the "production" subindex and the "employment" subindex. Yet, both remained in the growth zone. Hiring continued at a modest pace.

The recovery of industry should therefore continue for some time, the survey showed.