Fuel Economy: 24 city, 35 highway (mpg)
0-60 mph: 5.4 seconds
Engine: Turbocharged 4-cylinder
The Volvo S60 seems to be a great car, but not as tailored to performance and the driving experience when compared to the XE. It does win out when it comes to fuel economy though. Volvo's reputation for industry leading safety is also present in the S60 with features like, Collision Warning with Full Auto Brake, Pedestrian and Cyclist Detection with Full Auto Brake and Lane Departure Warning, among other features. It was a IIHS Top Safety Pick +.
Fuel Economy: 22 city, 30 highway
0-60 mph: 4.5 seconds
Engine: 2.0-litre turbocharged diesel
The Jaguar XE brings performance where the Volvo S60 lacks it. It has more horsepower, a quicker acceleration, and its figures are class leading even without four-wheel drive or computer-modulated launch control. It has worse fuel economy than the Volvo S60, which may be more important to some buyers than the power that you have a your feet. IIHS has not crash tested it yet, but it is expected to get a 5-star rating from Euro NCAP.
Ultimately, if it's the driving experience that you are after, you should go with the XE, but if that isn't at the top of your priority list, the Volvo S60 is definitely a vehicle that is worth checking out.