Swiss Market Ends On Weak Note As Inflation Data Weighs

(RTTNews) - The Switzerland stock market, which emerged into positive territory after a weak start on Monday, retreated soon and spent the rest of the day's session in negative territory.

Data showing an unexpected increase in Swiss consumer price inflation weighed on the market.

The benchmark SMI ended the session with a loss of 42.84 points or 0.38% at 11,147.25, off the day's low of 11,137.94. The index advanced to a high of 11,203.67.

Nestle ended 2.4% down. Givaudan, Roche Holding, Credit Suisse and Geberit lost 0.9 to 1.2%. Lonza Group drifted down 0.6%.

Swiss Life Holding and Richemont surged 2.55% and 2.24%, respectively. Sonova climbed about 1.2%, while Partners Group and Swiss Re both gained nearly 1%.

In the Mid Price Index, Belimo Holding tanked nearly 9%. Lindt & Spruengli ended 1.83% down, while Zur Rose, Ems Chemie Holding, Barry Callebaut, Galenica Sante and SGS lost 1.2 to 1.6%.

Helvetia rallied about 4.5%. Tecan Group and Dufry gained 2.35% and 2.16%, respectively.

AMS, VAT Group, Baloise Holding, Kuehne & Nagel and Swiss Prime Site gained 1 to 1.6%.

Data released by the Federal Statistical Office showed Switzerland's consumer price inflation unexpectedly rose to a six-month high in February driven by food and energy prices, raising the scope for the fourth consecutive rate hike this month.

The consumer price index, or CPI, grew 3.4% on a yearly basis that was slightly faster than the 3.3 percent increase seen in January. Economists had expected inflation to ease to 3.1%.

Consumer prices gained 0.7% on a monthly basis after a 0.6% rise in the prior month. Economists had forecast prices to climb at a slower pace of 0.4%.

Core consumer prices gained 0.8% monthly in February and increased 2.4% from the same period last year.