Swiss Market Closes Moderately Higher

(RTTNews) – Despite paring a substantial portion of its early gains, the Switzerland stock market ended moderately higher on Thursday.

Stocks moved higher as investors reacted positively to the latest batch of economic data, and on optimism about a potential coronavirus relief package in the U.S.

Worries about the spread of the coronavirus virus continued to weigh, limiting market’s uptick..

The benchmark SMI ended with a gain of 51.12 points or 0.5% at 10,238.12, well off the day’s high of 10,312.37. The index touched a low of 10,209.99 in late afternoon trades.

Givaudan, Sika, Lonza Group and Swatch Group gained 1.3 to 1.7%. Alcon ended 1.1% up, while Richemont, Nestle, ABB, Novartis and Swisscom gained 0.5 to 0.75%.

Bank stocks Credit Suisse and UBS Group declined 0.9% and 0.3%, respectively.

Among midcap stocks, AMS moved up 2.5%, extending recent gains. Kuehne & Nagel and Helvetia gained 2% and 1.8%, respectively. Sonova, VAT Group, Barry Callebaut and Straumann Holding also ended notably higher.

Temenos Group shares declined more than 4%. Vifor Pharma ended lower by about 1%, while Flughafen Zurich and Schindler Ps lost 0.8% and 0.7%, respectively.

According to data released by the Federal Statistical Office, Swiss consumer price index decreased 0.8% year-on-year in September after falling by 0.9% a month earlier.

On a monthly basis, consumer prices remained unchanged in August. This was in line with economists’ expectation.

The data said prices for international package holidays and hotel accommodation declined in September. Meanwhile, prices for clothing and footwear, and other fruits increased.

The core CPI fell 0.3% annually in September and remained unchanged from the previous month.

The EU measure of harmonized index of consumer prices fell 0.1% monthly in September and declined 1.1% from the previous year.

Separate data from the statistical office showed that the retail sales grew a working-day adjusted 2.5% year-on-year in August.

Sales of food, beverages and tobacco gained 8.1% yearly in August, while non-food sector sales fell 0.4%.

On a monthly basis, seasonally adjusted retail sales fell 1.9 percent in August.

Elsewhere, survey data revealed that the Swiss manufacturing PMI rose to 53.1 in September from 51.8 in August. Economists had expected a reading of 54.0.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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