2023-05-23 07:39:04
Zurich (awp) – The Swiss Stock Exchange opened Tuesday’s session on a negative note. The main Wall Street indices closed in mixed order on Monday in modest trading volume pending further talks on the debt ceiling of the United States.
While the threat of an American default hovers, Joe Biden and opposition leader Kevin McCarthy wanted to believe on Monday in a way out of the crisis, despite persistent disagreements.
Treasury Secretary Janet Yellen for her part recalled that it was “very likely” that the United States would find themselves short of public money after June 1.
John Plassard, of Mirabaud Banque, assures that whatever the outcome of the talks, “there are many ways to finance the Treasury without the approval of Congress”, citing the issuance of premium bonds, seigniorage, the sale of assets or the invocation by the Federal Reserve (Fed) of a legal exception clause.
Shortly before 9.20 a.m., the Swiss Market Index (SMI) fell by 0.18% to 11,531.97 points, the Swiss Leader Index (SLI) by 0.37% to 1,795.17 points and the broader market index Swiss Performance Index (SPI) by 0.32% to 15,178.98 points. Of the 30 major quotes, 22 were losing ground, seven were gaining and Swisscom was balancing.
Last in the standings, Julius Bär plunged 7.8%. The key figures presented by the group after 4 months were “disappointing” compared to analysts’ forecasts, noted the Cantonal Bank of Zurich (ZKB). Both assets under management (AuM) and net fund inflows missed the projections of the financial community.
The forced takeover of Credit Suisse (-0.4%) by UBS (-0.6%) does not constitute a triggering event for bankruptcy, considers the American committee CDDC, the same which had stopped that the cancellation of the AT1 bonds ordered by the Swiss Financial Market Supervisory Authority (Finma) was not grounds for payment of the default risk insurance (CDS).
Nestlé (-0.3%) has found a new Chief Operating Officer (COO) in the person of Stephanie Pullings Hart, who will succeed Magdi Batato next January. Novartis (-0.5%) also weighed on the index.
At the other end of the table, Swiss Re (+0.5%) led the way, ahead of the Roche bonus certificate (+0.4%), while Adecco, Logitech, Partners Group, Zurich Insurance and VAT ( +0.2% each) scrapped for the third step of the podium, without any particular news.
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