The Swiss stock market closed to the downside Monday, despite a recovery late in the day. The negative finish was largely attributed to the weak performance by shares of Novartis, one of the heaviest weighted stocks in the SMI. The better than expected pending home sales result from the U.S. was well received in the afternoon.
Economic risks were in focus again during Monday's trading session. The continued rise in oil prices, due to the increasing tensions in the nuclear dispute with Iran, has investors concerned. The results of the G-20 summit over the weekend had little impact on the market.
The Swiss Market Index fell by 0.65% Monday and finished at 6,143. The Swiss Leader Index dropped by 0.43% and the Swiss Performance closed lower by 0.06%.
Shares of Novartis decline by 3.5% on Monday and was responsible for the majority of the weakness in the SMI. The loss was attributed to a reduction in the company's dividend. Roche also finished down by 0.02% Monday, but shares of Nestle climbed by 0.5%.
Cyclicals and financials were also weak during the trading day. Logitech was one of the most notable decliners, with a loss of 3.9%. Kuehne + Nagel also dropped by 2.9% after the departure of the company's CFO. Adecco fell by 1.6% and Holcim finished lower by 0.7%.
by RTT Staff Writer
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