The KOF Swiss Economic Institute said Wednesday the world economy continued to see moderate growth in June as its global coincident barometer remained stable while its leading barometer rose.
The Coincident Global Economic Barometer edged up 0.1 point from the prior month to 103.2 points amid a negative contribution from Asia, Pacific & Africa. Meanwhile, the Leading Global Economic Barometer increased 0.9 point to 101.2 points, thanks to the region's positive contribution offsetting the Western Hemisphere's negative contribution.
"While both remain slightly above average, the leading indicator has been lower than the coincident indicator for the second consecutive month. From a regional perspective, this is solely driven by sentiment in the Asia-Pacific and African regions. There, the outlook is below average, probably reflecting the consequences of the energy shortage caused by the de facto closure of the Strait of Hormuz," KOF director Jan-Egbert Sturm said.