Swiss stocks opened the week on a downbeat note. The Swiss Market Index (SMI) was down 1.2% at 14,221 points and the broader Swiss Performance Index (SPI) fell 1.1% to 19,982, after the market opened with the US exchanges closed for the Labor Day holiday.
The Swiss franc strengthened modestly, with 1 USD buying 80.89 CHF, a 0.15% decline from the previous session. The dollar also lost ground against the yen, slipping up to 1.4% to 154.07 JPY, its lowest level in seven months. The move follows speculation that the Bank of Japan may pursue a more aggressive rate‑hike path; the central bank last raised rates in June to a 31‑year high of 1% and will decide again on 18 September.
Novartis was the biggest laggard, shedding 3.3% and pulling the SMI into the red. The decline came after the company announced that its experimental cholesterol‑lowering drug Pelacarsen failed to demonstrate a reduction in heart‑attack or stroke risk. Analysts consequently removed revenue forecasts that had projected peak sales of $1.3‑$2.0 billion. The news echoed a 5% drop in Amgen shares on Friday, where a similar drug is under development.
Roche fell 1.5% and Lonza slipped 1.2%, while generic maker Sandoz lost 0.9%. In the med‑tech segment, Alcon, Sonova and Straumann each fell between 1.3% and 1.5%. Swiss Re declined 1.9% as the reinsurer warned of rising costs from storms, droughts and wildfires ahead of its Monte Carlo meeting.
Industrial stocks showed mixed performance. ABB rose 1.1% and VAT gained 1.0% after strong demand for chips in Asia revived AI‑related optimism. AMS Osram jumped 2.4%, Komax added 1.6% and Inficon climbed 1.2%. By contrast, transformer maker R&S dropped 4.1% following the departure of CEO Eduardo Terzi, a move the Zurich Cantonal Bank said could reset the company’s strategy.
Schindler shares fell 3.1% to 252.60 CHF after Goldman Sachs cut the rating to “Sell” and lowered the target price to 233 CHF, citing a weakening Chinese market and limited upside from efficiency programmes.
Arbonia was the standout gainers, soaring 17% after UBS upgraded the rating to “Buy” and lifted the target price by roughly 50%, citing a valuation about 30% below the historic average and more than 50% under peers in the construction‑materials sector.
In the US pre‑market, the Dow Jones slipped 0.52%, the S&P 500 fell 0.17% and the Nasdaq 100 was flat, as investors continued to digest a strong US jobs report that rekindled expectations of higher Federal Reserve policy rates.
Historical data from Bluekurtic Market Insights show that since 2017 the S&P 500 has posted a loss on every first trading day after Labor Day, with an average weekly decline of 0.4% and a median drop of 0.8% over the nine‑year sample through 2025.
German wind‑turbine maker Nordex rallied up to 10.7% on the MDAX, buoyed by a Bank of America recommendation to buy the stock.
