Swiss Market Ends On Firm Note After Choppy Session

(RTTNews) - The Switzerland market closed on a firm note on Thursday despite struggling for direction till about a couple of hours past noon, despite the Swiss National Bank lowering interest rate by 25 basis points.

Worries about the outlook for global economic growth amid trade war and Middle East tensions weighed on the market for much of the day's trading session.

The benchmark SMI closed up 56.13 points or 0.43% at 13,097.05. The index touched a low of 13,005.50 and a high of 13,103.76.

Partners Group climbed about 2.1%. Givaudan, Nestle, Novartis and Alcon gained 1.3 to 1.8%. Sandoz Group and SGS closed higher by 0.88% and 0.82%, respectively.

Swatch Group and Adecco ended down 4.16% and 3.94%, respectively. Richemont closed nearly 3% down. VAT Group and Geberit ended moderately lower, while Schindler Ps, ABB and SIG Group lost 0.2 to 0.4%.

The Swiss National Bank trimmed its interest rate for the fifth consecutive meeting to the lowest since September 2022, amid heightened downside risks to inflation. The policy board, led by President Martin Schlegel, lowered the policy rate by 25 basis points to 0.25% from 0.5%.

This followed a 50 basis point cut in December. The bank has reduced the key rate by 150 basis points since March 2024.

The central bank forecast the economy will grow by 1 to 1.5% this year, and 1.5% in 2026. The inflation is expected to be at 0.4% this year, up from 0.3% projected in December. The bank retained its outlook for 2026 at 0.8%.

Switzerland's foreign trade surplus decreased in February from a month earlier as exports grew faster than imports, data from the Federal Customs Administration showed.

In real terms, exports climbed 4.2% monthly, reversing a 3.9% decline in January. Imports also rebounded 3.3% falling 1.4% in the prior month.