The Swiss Stock Market Pulled Back On Continued ECB Disappointment

(RTTNews) - The Swiss stock market ended Friday's session in the red. Investor disappointment following yesterday's announcement from the European Central Bank continued to weigh on sentiment. Investors had expected a bigger cut to the deposit rate and an enhancement in the monthly asset purchases.

The market pared its losses somewhat in the afternoon, following the release of the stronger than expected U.S. employment report. The strong jobs data has virtually assured that the Federal Reserve will hike its interest rate at this month's meeting.

The Swiss Market Index declined 0.56 percent Friday and finished at 8,802.89. The SMI ended the trading week with an overall decrease of 2.2 percent. The Swiss Leader Index fell 0.59 percent and the Swiss Performance Index lost 0.55 percent.

Cyclical stocks were under pressure at the end of the week. LafargeHolcim dropped 2.8 percent and Lonza fell 2.2 percent. Transocean weakened by 1.8 percent, Clariant surrendered 1.5 percent and ABB lost 1.0. The luxury goods stocks were also down. Richemont decreased 0.8 percent and Swatch declined 1.2 percent.

Julius Baer dropped 1.9 percent on concerns regarding its tax dispute in the United States. EFG International has reached a settlement of its dispute with a payment of $30 million. The amount was triple the amount the company had set aside.

Credit Suisse weakened by 1.2 percent and UBS surrendered 0.1 percent.

The index heavyweights all finished in the red Friday. Novartis and Nestle both decreased by 0.7 percent each. Roche ended the day with a loss of 0.1 percent. Goldman Sachs reaffirmed its "Buy" rating on the stock and increased its price target.

Aryzta was the to gainer of the session, with an increase of 1.1 percent. Swiss Re rose 1.0 percent, while Sika and Galenica both increased by 0.5 percent each.