CH conclusion: Little changed – SMI again with weekly profit

Jan 13, 2023 at 6:10 p.m

Zurich – The Swiss stock market closed on Friday with little change. After a friendly start after disappointing US company results, profits gradually melted away. This is not surprising, according to the market. After all, the SMI has gained around 5 percent since the beginning of the year and a consolidation was therefore not undesirable. The fact that profit-taking was limited before the weekend speaks for a continuation of the upward trend in the coming week. “One might think that investors pressed the delete button at the turn of the year,” commented Raffeisen. The high inflation, the restrictive monetary policy and the weakening economy have been sorted out.

After the lower US inflation had caused prices to rise the day before, the impulses on the reporting day were opposite. Investors reacted with sales to the mostly disappointing results of the US big banks JPMorgan, Citigroup, Bank of America and Wells Fargo. On the other hand, the consumer climate at the University of Michigan brightened unexpectedly, which led to a price recovery again. However, the business figures of the companies and their guidance should now be decisive for the further development of the stock market. From this, investors can estimate how much the weaker economy is affecting the results, profitability and forecasts of companies, commented CS. Analysts’ earnings estimates could still be overly optimistic, with the potential for disappointment, Raiffeisen wrote.

The SMI closed 0.03 percent higher at 11,290.79 points, well below the multi-month high of 11,342.6 points marked in the morning. This results in a weekly gain of 1.3 percent. The SLI, which includes the 30 most important stocks, fell 0.17 percent to 1746.00 points. Meanwhile, the broad SPI rose 0.09 percent to 14,492.11 points. In the SLI, 18 closed lower and twelve higher.

Beim Asset Manager Partners Group (-3.1%) pushed the mixed development of assets under management on course in 2022. Many analysts had hoped for more from the first advance information on 2022.

The shares of were under pressure again Logitech (-2.9%). They suffered from follow-up selling and critical analyst commentary after the computer peripherals maker issued a profit warning the previous day. The day before, the price had collapsed by 17 percent.

Also at Swiss credit (-2.3%) went downhill after the brilliant start to the year. After the title had risen a good 15 percent since the beginning of the year, short-term gains were said to have been pocketed. In addition, analysts were critical of the shares of the big bank. The disappointing results from US banks also weighed on sentiment in the sector. However closed UBS (+0.5%) higher.

The insurance companies Swiss Life, Swiss Re (each -0.6%) and Zurich (-1.3%) fell. At Swiss Re, traders explained the minus with shifts in Munich Re and Scor.

In the shares of luxury goods manufacturers Swatch (-0.4%) and Richemont (-0.5%) traders explained the minus with profit-taking after the strong start to the year and ahead of Richemont’s sales figures expected next week.

On the other hand, stocks that had suffered badly in the previous year were in demand. Next straumann (+3.8%) laid Sonova, Alcon, Lonza, Adecco and Kuehne + Nagel between 1.3 and 0.5 percent. The market was also supported by the price gains of the market heavyweights Roche (+1.0%) and Novartis (+0,5%).

There were bigger swings in the back rows Swissquote (+5.2%) following an analyst comment. Inficon (+2.8%) were according to key data for 2022 and Landis+Gyr (+0.9%) firmer after a major order. To the Rose (+6.0%) benefited from covering purchases.

On the other hand, they sagged U-blox (-7.9%) and Vontobel (-3.6%) after analyst comments. (awp/mc/pg)

SIX Swiss Exchange
Current status of SMI at Google

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