The PMI for small and medium-sized enterprises (SMEs) in Switzerland increased from 47.2 to 51.9 points in October, surpassing the growth threshold of 50 for the first time since May. This improvement is primarily due to stronger domestic demand, although the export environment continues to pose challenges for the industry.

All five components of the PMI showed positive movement, with the order backlog assessment significantly increasing from 48.4 to 54.1 points, indicating improved business performance. The production component also saw a notable rise from 46.8 to 53.2 points, while the employment component stabilized at exactly 50 points, suggesting a halt in job losses. Additionally, delivery times returned above the growth threshold for the first time since February 2023.

In contrast, the PMI for total industry remained just below the growth threshold at 49.9 points, while the services sector index rose to 51.8 points, reflecting a mixed economic landscape.