The Swiss Market Index (SMI) rose 0.5% to 14,601 points by mid-morning on Wednesday, closing in on its recent record high of 14,669.51. The Mid-Cap Index (SMIM) edged up 0.1% to 3,175 points, while the broader Swiss Performance Index (SPI) gained 0.5% to 20,516 points.
Early gains followed positive overnight cues from U.S. and Asian markets, with investors positioning ahead of Nvidia’s quarterly results and continued optimism around artificial intelligence demand. However, some traders cautioned that elevated expectations could set the stage for disappointment, particularly regarding data center growth forecasts.
Construction sector stocks led the SMI advance, with Amrize and Holcim both up 2.4%, followed by Sika at 1.5%. Nestlé contributed 0.7% to the index’s rise, while heavyweights Roche and Novartis showed little movement, with Roche up 0.1% and Novartis flat. At the other end of the index, Kühne+Nagel fell 0.5% as negotiations between Iran and Oman over new shipping regulations in the Strait of Hormuz progressed, a development that had previously supported the logistics firm through elevated freight rates.
Technology shares were mixed ahead of Nvidia’s earnings release. Logitech gained 0.9%, VAT rose 0.1%, and Inficon advanced 1.8% on a positive study. In the mid-cap segment, Gurit surged 26% after posting first-half results that exceeded expectations on profitability and raised its outlook. Stadler Rail climbed 19.3% as its half-year figures surpassed analyst forecasts across key metrics, reinforcing confidence in its medium-term targets. SoftwareOne rose 14% on synergies from the Crayon acquisition and a stronger-than-expected profit improvement, with additional upside potential cited for the remainder of the year.
Addex Therapeutics gained 11% after raising $2.8 million via an at-the-market equity offering, extending its cash runway to the fourth quarter of 2027. In contrast, Kudelski declined 4.9% following its earnings report, as the encryption specialist continued to report losses.
Within the SPI, the basic materials sector led gains at 1.6%, followed by consumer cyclicals at 1.3% and financials at 0.5%. Health care fell 0.2% and real estate dipped 0.02%. UBS adjusted its rating on SAP, maintaining a Neutral stance despite raising its price target from €164 to €201. SAP shares fell 4.5% in early trading, with UBS citing sluggish integration of agentic AI into its enterprise software core and a likely slowdown in the Current Cloud Backlog (CCB) in the second half of the year.
Market sentiment was supported by lower oil prices and falling bond yields in the U.S., while ongoing talks between Iran and Oman over Strait of Hormuz shipping rules added to the cautious optimism. Investors are also monitoring U.S. economic data, including the Personal Consumption Expenditures (PCE) price index, a preferred inflation gauge for the Federal Reserve, ahead of the Jackson Hole central bank symposium later this week.
