The Swiss Stock Market Extended Its Losing Streak On Brexit Concerns

(RTTNews) - The Swiss stock market ended Wednesday's session in the red, extending its losing streak to three sessions. Concerns about the consequences from the U.K. vote to exit the European Union and the health of the global economy weighed on investor sentiment. The losses in Switzerland were less severe than the rest of the European markets, due to its defensive weighting.

Amidst all of the concerns over the proposed "Brexit" investors flocked to safe haven investments. Government bonds saw strong demand from traders, which drove bond yields even lower. Gold stocks were also in demand as gold prices climbed to over a 2-year high.

The Swiss Market Index decreased 0.55 percent Wednesday and finished at 7,898.21. The Swiss Leader Index dropped 0.99 percent and the Swiss Performance Index lost 0.66 percent.

The financial stocks remained under heavy pressure. The consequences of the Brexit, coupled with concerns over the Italian banks drove the banks stocks lower. Credit Suisse dropped 1.7 percent and UBS weakened by 1.9 percent. Swiss Life decreased 2.6 percent, Swiss Re fell 2.5 percent and Zurich Insurance lost 2.2 percent.

Dufry surrendered 2.6 percent and building materials group LafargeHolcim closed lower by 2.2 percent. Ratings agency Moody's confirmed its credit rating of Baa2 for LafargeHolcim.

Geberit fell 0.5 percent after it announced a reorganization of management responsibilities and the appointment of a new marketing executive. Schindler dipped 0.3 percent. The lift and escalator manufacturer announced a strategic alliance with U.S. company General Electric in the field of industrial Internet.

Among the index heavyweights, Roche decreased 0.4 percent and Novartis dipped 0.1 percent. Meanwhile, shares of food giant Nestlé gained 0.2 percent.