The Swiss stock market declined again on Friday and ended the week in negative territory. Losses were fairly contained until the afternoon, when the U.S. stock markets began trading. The early weakness of the U.S. markets led to an acceleration of the losses in the Swiss market.
Budget negotiations between U.S. President Obama and Congressional leaders began today, as they attempt to come to a solution on the impending fiscal cliff. Fears that the U.S. may fall back into recession if a deal is not reached to avoid the fiscal cliff have had a negative impact on the market over the past few days.
The Swiss Market Index declined by 1.00 percent Friday and closed at 6,508.66. The SMI ended the trading week with a loss of 3 percent. The Swiss Leader Index fell by 1.09 percent Friday and the Swiss Performance Index dropped by 0.95 percent.
Financial stocks were among the weakest performers on Friday, especially shares of the big banks. UBS led the way, with a decrease of 2.6 percent, while Credit Suisse lost 2.3 percent.
Zurich Insurance fell by another 1.0 percent on Friday. The stock lost 3.9 percent yesterday, following the company's weak quarterly report. Several analysts lowered their respective ratings and price targets on the stock. Baloise decreased by 2.2 percent, Swiss Re lost 1.1 percent and Swiss Life dipped by 1.0 percent.
by RTT Staff Writer
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