Swiss Market Ends Flat

The Switzerland stock market ended flat on Monday, weighed down by weak economic data and a lack of positive triggers.

Movements were a bit volatile as investors looked for direction. After a weak start, the market rebounded into positive territory by late morning, but faltered around noon and languished in negative territory till about an hour before the closing bell.

The benchmark SMI ended down 2.42 points or 0.02% at 12,436.58. The index moved in a very tight band between 12,404.35 and 12,444.59.

Alcon gained about 0.9%, Nestle climbed 0.53% and ABB gained 0.44%. Credit Suisse and Sika also posted modest gains.

Swiss Re and Richemont ended lower by 1.2% and 1.06%, respectively. Swatch Group, UBS Group, Novartis and Lonza Group ended modestly lower.

In the Mid Price index, VAT Group climbed 3.7% and Cembra Money Bank gained 2.8%, while Kuehne & Nagel, Logitech, Lindt & Spruengli N and Tecan Group gained 1.2 to 1.6%.

Baloise, Flughafen Zurich, Vifor Pharma and Julius Baer ended weak.

Switzerland’s economic sentiment weakened for a third month in a row and at a sharp rate in August, suggesting that the recovery from the pandemic is set to continued albeit at a slower pace, results of a survey showed Monday.

The Economic Barometer fell to 113.5 from 130.9 in July, revised from 129.8, the monthly survey by the KOF economic institute showed. Economists had forecast a score of 125.0.

The reading remained significantly above its long-term average.

“Accordingly, in the coming months the economic recovery from the consequences of the pandemic is expected to continue,” KOF said.

All indicator groups except those from the construction industry contributed to this decline, the institute added.

“The fourth wave of the pandemic, which is now becoming increasingly clear, is apparently fueling doubts about largely unhindered economic activity in the near future,” KOF said.