Switzerland's economy failed to grow in the second
quarter of the year, according to the country's State Secretariat for
Economics. 
The much weaker-than-expected figure came after exports were affected
by weakness in the rest of Europe and construction spending fell.
The zero growth in the quarter was the weakest performance for two
years.
Compared with a year earlier gross domestic product (GDP) was 0.6%
higher, well below forecasts of 1.7%.
"For us it's really below expectations. We expected a bit more
growth," said Maxime Botteron from Credit Suisse.
"The trend in exports is not a big surprise. Trade data so far
already pointed to a rather weak contribution of exports. What is a bit more
surprising is the weak investment spending, especially in the construction
sector."
At the weekend, the chairman of the Swiss National Bank, Thomas Jordan,
said that macroeconomic and geopolitical risks may lead to the bank cutting
growth forecasts.
Figures released last month showed that the eurozone - a key export
market for Switzerland - recorded zero growth in the second quarter of the
year.
The lack of growth has raised the pressure on the European Central Bank
- which holds its latest meeting on Thursday - to take measures to stimulate
the eurozone.
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