The Swiss Stock Market Was Dragged Lower By Weak Performance Of Heavyweight
BRUSSELS (dpa-AFX) - The Swiss stock market ended Thursday's session with a significant loss, following the modest gains of the previous two days.
The weak performance of the defensive heavyweights drove the market lower on the first day of December. The SMI finished November with an overall gain of 0.6 percent for the month. However, the market is still down about 10 percent since the start of the year.
Positive news, like the surge in crude oil prices and solid manufacturing data from China, was overshadowed by investors concerns ahead of some key upcoming events. The U.S. jobs report for November is due to be released on Friday and the Italian constitutional referendum will take place on Sunday.
The Swiss Market Index decreased 1.00 percent Thursday and finished at 7,796.81. The Swiss Leader Index dropped 0.64 percent and the Swiss Performance Index lost 0.92.
The index heavyweights were under heavy pressure on Thursday. Nestlé dropped 1.6 percent, while Roche and Novartis weakened by 2.0 percent each.
The luxury goods companies also turned in a weak performance. Richemont declined 2.0 percent and Swatch fell 0.6 percent.
Lonza forfeited 2.4 percent and Givaudan surrendered 1.9 percent. Among the insurance companies, Zurich Insurance and Swiss Re weakened by 1.6 percent each and Swiss Life lost 1.0 percent.
Among the cyclicals, LafargeHolcim decreased 1.5 percent and Kuehne + Nagel dropped 1.3 percent. Meanwhile, ABB finished higher by 0.7 percent.
Credit Suisse was the top performing stock of the session, with a gain of 3.0 percent. Citigroup confirmed its "Buy" rating on the stock and increased its price target. Shares of rival UBS also closed up by 0.2 percent.
In the broad market, Accu sank 25 percent after it reported on liquidity problems at its Nexis subsidiary.
Copyright RTT News/dpa-AFX