logo
Plus   Neg
Share
Email

Swiss Market Ends Modestly Higher On U.S.-China Trade Talks Hopes

The Switzerland stock market, which suffered a setback on Tuesday after having moved up sharply in previous two sessions, rebounded and ended on a firm note on Wednesday.

Investors reacted positively to reports that China is open to reaching a partial trade deal with the U.S. despite the imposition of visa restrictions and blacklisting of Chinese artificial intelligence companies by the U.S.

The benchmark SMI ended up 29.81 points, or 0.3%, at 9,830.05. The index, which eased to 9,777.92 in early trades, rallied to 9,880.68 around mid morning before paring some gains as the day progressed.

On Tuesday, the index ended down 113.82 points, or 1.15%, at 9,800.24. Save for a few minutes a little while after the opening bell, the index was down in negative territory in Tuesday's session.

Among the gainers in the benchmark index, Swatch Group firmed up 1.8%. Lonza Group, LafargeHolcim, Roche Holding and Richemont gained 0.5 to 0.6%.

Sika declined nearly 2%, while Alcon and UBS Group ended modestly lower, while Swiss Life Holding and Swisscom edged down marginally.

In the midcap section, Temenos Group ended 2.3% up. AMS and VAT Group gained about 1.25% each, while Kuehne & Nagel, PSP Swiss Property, Schindler Holding, Clariant, Lindt & Sp, Swiss Prime Site and Straumann Holding gained 0.6 to 1%.

On the trade front, an official with direct knowledge of the talks told Bloomberg that negotiators aren't optimistic about securing a broad agreement to end the U.S.-China war but said China would accept a limited deal as long as President Donald Trump does not impose any more tariffs.

In return, the official told Bloomberg, Beijing would offer non-core concessions like purchases of agricultural products without giving in on major sticking points.

For comments and feedback contact: editorial@rttnews.com

Market Analysis

Follow RTT
>