The Swiss equity market opened broadly flat on Tuesday, with the SMI up 0.11% at 14,463.74 points as of 09:30 CET. The SMIM mid-cap index rose 0.28% to 3,170.30, while the broader SPI gained 0.12% to 20,336.61. European peers such as the DAX and CAC 40 also traded higher, though gains were tempered by losses among heavyweights including Nestlé, which slipped 0.4%.
Among SMI components, 13 stocks advanced against seven decliners. Logitech led gains with a 1.7% rise, while ABB recovered 1.0% from Monday’s losses. Amrize was the top decliner, falling 1.6% after its CFO unexpectedly departed. Swissquote surged 2.3% as crypto prices extended gains, and semiconductor-related names such as VAT, AMS Osram and Inficon advanced ahead of Nvidia’s earnings release.
In the mid- and small-cap space, TX Group climbed 5.3% and SMG jumped 7.0% following positive half-year results. The Geneva Cantonal Bank also rose 5.0% after posting a sharp first-half profit increase. Arbonia lagged, dropping 7.2% after lowering its EBITDA guidance due to software implementation issues, while DKSH fell 4.7% following a downgrade by Berenberg. Among small-caps, Arbonia slumped 9.8% and Cham SP declined 3.3%. BCGE and Leonteq gained 3.4% and 2.3%, respectively, after governance updates.
Analysts revised ratings and price targets for several Swiss stocks. Vontobel maintained a Hold rating on Allreal with a CHF 213 target after minor estimate adjustments. DA Davidson initiated coverage of Amrize with a Hold rating and a CHF 40.11 target. Berenberg downgraded DKSH to Hold from Buy with a CHF 68 target, while raising Emmi’s target to CHF 950 from CHF 900 with a Buy rating. UBS cut EFG International’s target to CHF 17.20 from CHF 20.70, keeping its Neutral rating. Vontobel and Octavian set CHF 100 and CHF 115 targets for Siegfried, respectively, both with Buy ratings. Stifel maintained a Buy rating and CHF 105 target for Siegfried. UBS raised Sika’s target to CHF 230 from CHF 220 with a Buy rating, and Kepler Cheuvreux lifted Swiss Life’s target to CHF 940 from CHF 870 with a Hold rating. Barclays downgraded Swiss Prime Site to Equal Weight from Overweight with a reduced target of CHF 125 from CHF 160.
European markets faced headwinds from renewed trade tensions between the U.S. and Canada and the prospect of further sanctions on Iran. The U.S. Treasury imposed sanctions on nearly 60 entities, individuals and vessels but deferred penalties on countries maintaining business ties with Iran. The S&P 500 and Nasdaq closed lower on Monday, pressured by technology shares amid concerns over valuation and geopolitical risks. The VIX hit a 2024 low on August 14, reflecting the inverse relationship between volatility and equity returns, though October historically poses elevated risks, including a 50% probability of a U.S. rate hike.
In Asia, the Nikkei declined 0.5% to 65,197.70 as chip stocks tracked losses in the U.S. ahead of Nvidia’s earnings. The broader Topix edged up 0.06% to 4,075.83. The shipping sector led gains among Tokyo Stock Exchange industry sub-indexes, rising 2.91%, as Middle East tensions supported the segment. Nvidia’s shares fell for a seventh consecutive session, while Samsung Electronics dropped 3.5% after disappointing investors with a $79 billion shareholder return plan. Japanese chip-related names such as Advantest, Tokyo Electron and Kioxia also declined.
The Swiss franc weakened further against the dollar and euro, with the USD/CHF pair up 0.15% at 0.8037 and EUR/CHF rising 0.1% to 0.9369. Brent crude held above $93 per barrel at $93.67, up 0.53%.
