On Monday, the Swiss stock market experienced a brief positive shift after a sluggish start but quickly retreated, spending the remainder of the session in negative territory as investors refrained from buying amid a lack of significant motivators.
Investors are eagerly awaiting the Swiss National Bank's monetary policy announcement scheduled later this week.
The benchmark Swiss Market Index (SMI) concluded with a loss of 41.07 points or 0.34%, closing at 12,003.52, which is nearly 50 points above the day's low of 11,955.08.
Straumann Holding saw a decline of 2.71%. Alcon dipped by 2.34%, Sonova fell 1.88%, and both Lonza and Novartis ended with a decline of approximately 1.55%.
Richemont decreased by 1.22%, while SIG Group, Roche Holding, Partners Group, Logitech International, Lindt & Sprüngli, and Sika experienced losses ranging from 0.7% to 1%.
Conversely, UBS Group climbed 2.15%, with Julius Baer and Swiss Re rising 1.78% and 1.15%, respectively. Zurich Insurance Group, ABB, Swiss Life Holding, and Schindler Ps all posted significant gains.
On the economic front, the State Secretariat for Economic Affairs (SECO) reported that the Swiss economy is expected to witness significantly below-average growth this year. Low capacity utilization in industrial output and high financing costs are likely to dampen investments.
The economic growth forecast for 2024 was adjusted upward to 1.2% from 1.1%, yet this still indicates a growth rate significantly below the average, according to SECO's expert group. With a gradual global economic recovery, growth is expected to normalize to 1.7% by 2025, the agency added.
The unemployment rate is projected to increase to 2.4% in 2024 and 2.6% in 2025, with both figures revised upward by one percentage point.
Inflation is anticipated to ease to 1.4% in 2024, slightly below the previous forecast of 1.5%. The projection for 2025 remains unchanged at 1.1%.