The Swiss Market Index (SMI) closed 0.13% higher at 14,321 points on Tuesday, with gains led by healthcare stocks Roche and Novartis, which rose 1.45% and 1.8% respectively. Nestlé, Alcon and Swisscom also contributed to the index’s modest advance. The broader European market slipped, with the Stoxx Europe 600 down 0.6%, while the DAX and CAC 40 each fell 0.6%.
U.S. equity futures pointed to a weaker open, with the Nasdaq 100 down 1.49% at 29,548 points after opening. The S&P 500 declined 0.50% to 7,706 points, while the Dow Jones Industrial Average hovered near flat at 53,434 points. Rising bond yields weighed on risk sentiment, with the U.S. 30-year Treasury yield reaching 5.321%, a 19-year high. German 10-year bund yields climbed to 3.248%, the highest since 2011, and Japanese 10-year government bond yields hit 2.945%, a three-decade peak.
In Swiss equities, cyclical stocks came under pressure, with ABB down 3%, Holcim declining 2.2% and Sika falling 2.1%. Huber+Suhner slumped 11% after reporting disappointing first-half margin development. In contrast, Basilea surged 10% following a strong first-half performance and raised full-year guidance. Medartis advanced 6.4% on positive half-year results, while SIG recovered 2.9% after an 18% drop the previous session.
Among global peers, Nvidia fell 2.2% as profit-taking and higher yields pressured tech valuations. Baidu dropped 9% after reporting weaker-than-expected second-quarter profit, while Fabrinet crashed 18% on disappointing datacom revenues. Home Depot shares rose 2% after beating earnings expectations. Pony AI gained 2.4% in pre-market trading despite a Q2 adjusted loss of $0.10 per share, citing a 68.8% year-over-year revenue increase to $36.22 million and a 691.2% surge in robotaxi revenue to $12.1 million.
Commodities showed mixed performance, with Brent crude oil at $91.23 per barrel, up 0.32%, while gold spot prices eased 0.5% to $4,391.14 per ounce. The dollar strengthened against the yen to 159.49 and the yuan to 6.7430, while the euro traded at 1.1576 per dollar. Geopolitical tensions in the Middle East and concerns over oil supply disruptions from the Gulf region added to market caution.
