Geneva (awp) – The Swiss stock market lost momentum at the end of the morning, occasionally making incursions into negative territory, like other European markets, after starting 2025 in the green. Business and economic news was sparse on Friday, coming out of the holidays and awaiting the start of the results season next week.
These hesitations on the markets reflect uncertainties, particularly regarding the trade policy that Washington will pursue. “The imminent arrival of Donald Trump in power is putting investors’ resolve to the test,” writes Jochen Stanzl at CMC Markets. Acting cautiously, “they are preparing for a possible dramatic turn of events when the new president takes office,” adds his colleague from Activ Trades, Frank Sohlleder.
Overall, “this first trading day of the year should take place without much development”, marked by low volumes, comment Raiffeisen analysts.
On Friday, no significant news was expected from the business side. On the macroeconomic and cyclical front, the American ISM manufacturing activity index for the month of December was to be published in the afternoon, likely to provide some information on the state of health of the world’s largest economy which seems to be of concern some observers.
In Europe, Germany reported a stable unemployment rate in December, at 6.1%, while Italy announced a public deficit falling sharply in the third quarter, to 2.3% of GDP. In Switzerland, the PMI purchasing managers’ index for the industrial sector contracted slightly in December to 48.4 points compared to 48.5 points in November.
Around 10:40 a.m., the Swiss Market Index (SMI) gained 0.22% to 11,626.56 points, after having been in the red for part of the morning. The Swiss Leader Index (SLI) climbed 0.33% to 1923.5 points and the expanded Swiss Performance Index (SPI) rose 0.26% to 15,511.79 points. Of the thirty main valuations, nine were on a downward trend, Swisscom remained in balance and twenty increased.
UBS kept the lead in the index by consolidating its gains (+3.1%) after Exane BNP raised its recommendation and its price target, believing that the horizon is clearing for the big bank. SIG Group (+1.2%) and Swiss Life (+1.1%) completed the top three.
Partners Group (+0.6%) also seemed to benefit from an increase in its price target by Citigroup.
After starting on the rise, Swisscom regained balance at the end of the morning. The blue telecommunications giant announced the day before that it had finalized the acquisition of Vodafone Italia on December 31, a little faster than expected. This operation, costed at 8 billion euros, places the group in second place among telecommunications service providers in Italy, behind TIM (Telecom Italia).
The heavyweights moved in a dispersed order, with Roche increasing by 0.3%, Novartis by 0.2%, while Nestlé weighed on the index (-0.7%).
At the other end of the table were still Swatch Group (-0.9%), which was also in the bottom position, and Richemont (-0.6%), affected by the lack of economic rebound in China. Beijing said on Friday it was continuing its “economic opening” but gave no indication of its reaction to the new American customs duties, nor outlined concrete measures to support the economy.
In the broader market, Jungfraubahn increased its gains (+5.9%) after announcing a record start to its 2024/2025 winter season and having once again crossed the million passenger mark last year for its main destination.
Investors also seemed convinced by the changes announced the day before at the head of the board of directors of Pierer Mobility (+6.3%).
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