The Swiss Market Index (SMI) rose 0.21% to 14,477.43 points by 11:20 a.m. local time, extending a modest recovery after a weak start to the week. The Mid-Cap SMIM gained 0.41% to 3,174.46, while the broader SPI advanced 0.22% to 20,356.56. European benchmarks such as the DAX and CAC 40 also traded higher, supported by unexpectedly strong German construction data.
Geopolitical and trade policy risks continued to weigh on sentiment, with U.S. threats of secondary sanctions against Iran and potential exclusion from the dollar system adding to market caution. The Brent crude benchmark eased about 1% to around $91 per barrel, though prices remain elevated amid Middle East tensions. Bitcoin extended its recent rally, briefly surpassing $80,000 for the first time since mid-May, while gold and silver drifted lower after recent gains.
In the SMI, 14 of 20 components were higher, led by Logitech (+1.9%) and ABB (+1.7%), which rebounded from Monday’s losses. Amrize fell 2.2% after the surprise departure of its chief financial officer, while Nestlé slipped 0.5% alongside broader weakness in consumer staples names such as Barry Callebaut and Lindt (both -0.7%).
Semiconductor stocks advanced ahead of Nvidia’s earnings, with VAT, Comet and Inficon each up more than 2%, and AMS Osram gaining 5.5%. Swissquote (+1.2%) rose as cryptocurrency prices climbed. TX Group (+4.9%) and SMG (+9.5%) surged on strong half-year results, with TX Group also increasing its stake in SMG to 31.4%. The Geneva Cantonal Bank (+3.7%) and Liechtenstein’s VP Bank (+1.4%) advanced after posting strong first-half earnings.
Orior tumbled 9.5% after cutting its outlook, while Molecular Partners fell 4.0%. Arbonia slipped 0.3% after paring early losses, though it later trimmed declines following a software implementation issue that prompted a downward revision to its EBITDA guidance. DKSH dropped 3.8% following a downgrade by Berenberg, while SIG gained 2.1% after UBS reaffirmed its buy rating.
Leonteq fell 2.3% after announcing an extraordinary general meeting to discuss a potential share buyback, with the stock swinging between gains and losses. Among mid-caps, Arbonia plunged 9.8% after reporting, while Cham SP declined 3.3%. BCGE (+3.4%) and Leonteq (+2.3%) were notable gainers following governance updates.
Analyst actions included Vontobel maintaining a hold rating on Allreal with a price target of 213 francs, while Berenberg downgraded DKSH to hold from buy with a target of 68 francs. UBS cut EFG International’s price target to 17.20 francs but kept its neutral rating, and Barclays lowered Swiss Prime Site to equal weight with a target of 125 francs.
