The KOF Swiss Economic Institute reported its leading indicator rose further in July, indicating that the outlook for the Swiss economy remains favourable.

According to the report, the KOF Economic Barometer increased to 106.8 this month from a revised reading of 105.8 in June (originally 105.5). Economists had forecast the index would increase to 106.

The strongest impulses contributing positively to the indicator's performance stem from indexes for the tourist industry as well as from the ones for the export development. The gauges for the construction activity also demonstrated an upward tendency. On the contrary, the data for the manufacturing industry dampen the development, the report said.

Overall, the KOF Economic Barometer remains above its long-term average.