The Swiss stock market ended a rather directionless trading session in positive territory on Tuesday. The market approached a new high for the year, around the 6,874 point level in early trading, but pared its gains going into the close. Financial stocks turned in a strong performance, particularly shares of Credit Suisse.
Finance ministers from the 27 EU member states could not come to an agreement on the new European Banking Supervisors. Further negotiations on the subject will take place next week. Investors remain cautiously optimistic that a solution to the fiscal cliff in the U.S. will be found before the end of the year, despite the White House rejection of a Republican plan.
The Swiss Market Index increased by 0.21 percent Tuesday and finished at 6,853.15. The Swiss Leader Index gained 0.25 percent and the Swiss Performance Index added 0.20 percent.
Credit Suisse was the top gainer among the financial stocks, with an increase of 2.2 percent. The rest of the financials posted more modest gains. Swiss Life climbed by 0.5 percent, while Swiss Re, Zurich Insurance and UBS all gained about 0.3 percent each.
Among the cyclicals, Sonova rose by 1.1 percent, after Morgan Stanley upgraded the stock to "Overweight" from "Equal weight." Sika advanced by 0.8 percent, after UBS increased its price target on the stock. ABB increased by 0.8 percent after winning contracts worth a total of around US$225 million for the delivery of two turnkey photovoltaic systems in South Africa.
by RTT Staff Writer
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