Swiss Market Ends Higher For 3rd Straight Day

(RTTNews) - The Switzerland stock market ended on a positive note on Monday, in line with the trend across Europe, amid slightly rising optimism about a U.S. fiscal stimulus, and recent data from China that showed signs of an economic recovery.

Investors also reacted to a report from the State Secretariat for Economic Affairs (SECO) that the economic slump due to the impact of the coronavirus pandemic in Switzerland this year is set to be less serious than feared earlier.

The benchmark SMI, which edged down to 10,312.38 in early trades, ended with a gain of 44.07 points or 0.43% at 10,364.10, extending gains to a third straight session.

The SMI ended 0.48% up on Friday, after gaining about 0.8% a session earlier.

Sika and Alcon gained about 1.75% each. Geberit, Swiss Re and Givaudan moved up by 1.4% to 1.5%. Credit Suisse, SGS, Richemont, Swisscom and Nestle also ended notably higher.

Novartis and Roche Holdings ended lower by about 0.3% and 0.12%, respectively.

In the midcap section, SIG Combibloc surged up 2.8%. Georg Fischer gained about 2.5% and Sonova advanced 2%. Straumann Holding, AMS, Logitech, Adecco, VAT Group, Kuehne & Nagel and Julius Baer ended higher by 1 to 1.7%.

Among the losers, Dufry shares plunged more than 12%, while BB Biotech and Flughafen Zurich declined 0.7% and 0.5%, respectively.

According to expert group of the federal government, SECO, the economy will shrink only 3.8% in 2020 compared to the previous projection of -6.2%.

Nonetheless, the estimated 3.8% fall would be the strongest decline since 1975.

The economic output would return to its pre-crisis level only towards the end of 2021, provided there is no further widespread lockdown, the report said.