2023-09-15 06:46:03
Zurich (awp) – The Swiss Stock Exchange was heading towards an opening in positive territory for the last session of the week, in the wake of a sharply rising close, just below 11,100 points. Investors visibly relished the prospect of seeing the European Central Bank end its monetary tightening policy, even following a tenth consecutive increase in interest rates to counter inflation in the euro zone. The Swiss National Bank (SNB) will make its decision next Thursday.
“The main American indices ended higher last night following a ‘dovish’ (accommodative) increase from the ECB and an increase in retail sales in the United States which suggest that a ‘soft landing’ is increasingly likely, ” summarized John Plassard of Mirabaud in a comment.
The ECB raised interest rates for the 10th consecutive time on Thursday and signaled it was probably finished tightening policy as inflation has started to ease but is expected to remain too high for too long. The Frankfurt institute raised its benchmark interest rate to its highest level since 1999.
Following this, “the euro fell sharply. The EUR/USD pair for example returned to its lowest level in March while the EUR/CHF pair hit its lowest level since September 2022,” added Mr. Placard.
Furthermore, China published a series of economic indicators better than expected for the month of August, such as retail sales which increased last month by 4.6% year-on-year.
Around 8:10 a.m., the preSMI extrapolated by Julius Bär rose 0.29% to 11,130.28 points. All the star stocks were moving in the green.
UBS soared 0.6%. Sergio Ermotti, returned to the helm of the three-key bank to oversee the takeover of Credit Suisse, declared that he intended to remain at the head of the banking giant at least until the end of 2026, to complete the integration of the former rival.
Sika (+0.3%) is proposing the candidacy of Thierry Vanlancker, who has served on the board of directors since 2019, to replace president Paul Hälg, who is leaving following 12 years in office.
Heavyweights Novartis, Nestlé and the good Roche each gained 0.2%. The extraordinary general meeting of the former must validate this Friday the project of autonomy and IPO of the current generic and biosimilar subsidiary Sandoz.
The insurers Zurich and Swiss Life each advanced 0.3%, as did the reinsurer Swiss Re.
In the expanded market, the chief executive officer (CEO) of Bachem (+1.1%), Thomas Meier, will now also assume the role of operational director (COO).
Six Exchange Regulation (SER) is investigating the Banque cantonale du Valais (not covered), suspected of violating the requirements concerning event , “facts likely to have an influence on prices”.
Relief Therapeutics (unhedged) widened its loss in the first half, to -56.1 million Swiss francs compared to -26.3 million a year earlier. Liquidity has decreased since the end of December to less than 13 million compared to more than 19 million.
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