BRUSSELS (dpa-AFX) - The Swiss stock market ended the first day of the new trading week with a substantial loss, extending the weakness from the previous week. The market slipped below the 9,100 point level for the first time since November 2017 during the trading session.
Equity markets in Europe have been struggling of late due to rise in bond yields. As bond yields rise, riskier investments, like equities, become less appealing. Friday's strong U.S. jobs report has also convinced investors that the Fed is like to raise interest rates at its next meeting.
The Swiss Market Index decreased by 1.30 percent Monday and finished at 9,100.39. The Swiss Leader Index dropped 1.40 percent and the Swiss Performance Index lost 1.37 percent.
Dufry was among the weakest performing stocks of the session, tumbling 2.8 percent. The company learned over the weekend that the hedge fund controlled by Paul Singer has reduced its stake in Dufry from over 5 percent to less than 1 percent.
Aryzta dropped 2.8 percent and UBS surrendered 2.5 percent. LafargeHolcim, ABB, Kuehne + Nagel, Julius Baer and Swatch also lost between 2.3 percent and 1.6 percent.
The index heavyweights all finished in the red Monday. Roche decreased 0.9 percent and Novartis fell 1.5 percent. Shares of Nestlé also finished lower by 0.9 percent.
Copyright RTT News/dpa-AFX