Zurich (awp) – The Swiss stock exchange remained stuck in the red while remaining above the 12,100 points mark. Investors seemed to be banking on caution as the Swiss earnings season took a small hiatus.
The main European markets were also down on Wednesday. The New York Stock Exchange closed modestly higher on Tuesday, continuing to climb to new highs on strong corporate results despite supply constraints.
At the macroeconomic level, German consumer sentiment is expected to improve further in November, despite skyrocketing inflation, according to the GFK barometer. The institute forecasts an index at 0.9 point in November, an increase of 0.5 point over one month.
The German economy is expected to experience 2.6% GDP growth in 2021, a post-pandemic recovery that is significantly weaker than expected due to disruptions in global supply chains. Inflation, for its part, is expected at 3% this year and should decline in 2022.
In France, household morale fell again in October, the French worrying more about their future financial situation and their future savings capacity.
At 11:05 am, the SMI yielded 0.36% to 12,103.11 points, the SLI 0.26% to 1966.04 points and the SPI 0.27% to 15,588.65 points. Among the 30 star stocks, 11 advanced, Partners Group was stable and 18 fell back.
Far ahead of the others, Temenos (+ 8.7%) remained at the top of the list, after rumors of a takeover by the EQT fund, reported by Bloomberg. Both parties declined to comment on this information, however.
Kühne + Nagel (+ 1.1%) and Lonza (+ 0.6%) completed the podium.
Nestlé (+ 0.5%) had the chocolate medal while the other two heavyweights Nestlé (-1%) and Novartis (-1.5%) had their heads under water.
The last named indicates the day after its quarterly results to have obtained from health regulators in the United States (FDA) as in Europe (EMA) a review of its requests for extension of approval for its cell treatment Kymriah (tisagenlecleucel).
ABB (+ 0.4%) landed an order with Deutsche Bahn. The Zurich group will deliver for an unspecified amount traction transformers which will equip 76 locomotives intended for the Intercity Express trains of the German railway company.
Vifor (-5.3%) and Adecco (-2.0%) were at the back of the pack, alongside Novartis. The American laboratory Angion, a partner of Vifor Pharma, has failed to demonstrate the effectiveness of the experimental treatment ANG-3777 for patients who have undergone a kidney transplant and who are at risk of developing delayed graft function (DGF).
In terms of the broader market, Sulzer (-0.5%) recorded between July and the end of September 803 million Swiss francs in orders, or 15.7% more than at the same time last year. The recovery was powered by its Pumps Equipment unit, renamed to Flow Equipment in passing.
On the occasion of its investor day, Bossard (-0.4%) is raising its objectives and is now targeting average organic sales growth of 5%, while the operating margin, at the level of operating income before interest and taxes (Ebit) is expected between 12 and 15%, against 10 to 13% so far.
Datacolor (untreated) again recorded a net profit in the staggered 2020/2021 financial year. Turnover also increased significantly.
lk / jh / fr