2023-09-14 09:31:08
Zurich (awp) – The Swiss stock market regained color as midday approached Thursday, awaiting the crucial meeting of the European Central Bank and its possible tenth consecutive increase in interest rates since July 2022.
The start of the followingnoon promises to be exciting, estimated CMC Markets, for whom the predictions are 50/50 regarding the guardian of the single currency. “This is perhaps the last chance for the ECB to act on interest rates, because the data for November and December might no longer allow it, because it was too dark. President Christine Lagarde, however, suggested that there might be a break.”
“As recently as the beginning of the week, it was expected that the ECB would not raise rates at today’s meeting,” noted Swissquote’s Ipek Ozkardeskaya. A few hours before this meeting, “the most likely scenario is that of an increase of 25 basis points; the monetary markets estimate the probability of an increase of 25 bp at 68%.”
“Christine Lagarde’s decision will certainly never have been so difficult to make since she has been at the head of the central bank”, for John Plassard of Mirabaud.
In Switzerland, the producer and import price index decreased by 0.2% in August compared to the previous month. Price falls were recorded above all for pharmaceutical and chemical products when petroleum products and hydrocarbons increased in price, indicated the Federal Statistical Office (FSO).
Around 11 a.m., the SMI gained 0.10% to 10,987.55 points, the SLI gained 0.06% to 1730.42 points while the SPI gained 0.05% to 14,438.68 points. Of the thirty star stocks, thirteen were moving in the green and 17 were falling.
The leading trio was made up of Kühne+Nagel (+1.6%), Swiss Re (+0.9%) and Temenos (+0.9%).
Once independent from Novartis (+0.7%), the subsidiary dedicated to biosimilars Sandoz will be part of the SLI and SMIM indices on the Swiss Stock Exchange, SIX Swiss Exchange announced on Wednesday evening. Other heavyweights Roche and Nestlé gained 0.6% and 0.1%.
VAT fell by 0.8%. Kepler Cheuvreux lowered its recommendation to “hold” from “buy”. The price target was raised to 350 Swiss francs, compared to 330 Swiss francs.
At the bottom of the pack were AMS-Osram (-1.3%), Swatch Group and Julius Bär (-1.5% each). Barclays slightly lowered the price target for the Bienne watchmaker to 255 Swiss francs from 260, citing disappointing sales in China.
On the broader market, Autoneum (-3.2%) detailed its capital increase project, intended to refinance following the acquisition of the automotive activities of its bankrupt German competitor Borgers. The operation is expected to bring in some 100 million Swiss francs.
Aevis Victoria (-1.9%) suffered a half-year net loss of 10.2 million Swiss francs, compared to a profit of 47.2 million in the first six months of 2022.
The board of directors of Von Roll (stable), in the process of being acquired by the German chemist Altana via its subsidiary Elantas, resigned from its functions on Wednesday during the general meeting. The title will also be delisted from the Swiss Stock Exchange.
The banking software developer Crealogix (stable) posted a net annual profit in balance at the end of June following a loss of 16.9 million Swiss francs a year ago.
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