(RTTNews) – The Switzerland market closed notably lower on Wednesday, in line with markets across Europe, as rising Middle East tensions pushed up oil prices, triggering inflation and interest rate fears.
Oil prices rose more than 6% after U.S. President Donald Trump declared at the NATO Summit that the Iran ceasefire “is over,” raising fears of a larger conflict with Iran and Strait of Hormuz disruptions.
U.S. President Donald Trump declared at the NATO Summit that the Iran ceasefire “is over,” raising fears of a larger conflict with Iran and Strait of Hormuz disruptions.
According to reports the US carried out fresh airstrikes on Iranian targets and revoked a sanctions waiver that had allowed Iran to sell oil globally. Meanwhile, Tehran launched strikes on Bahrain and Kuwait, fueling concerns of a wider conflict in the Middle East region.
The Swiss benchmark SMI, which dropped to a low of 14,111.36 around late morning, ended the session with a loss of 186.10 or 1.3% at 14,174.35.
Sika ended more than 5% down. Holcim shed nearly 4%, while Straumann Holding, Geberit, Sonova and Givaudan shed 3%-3.5%.
Julius Baer and Richemont drifted down 2.5% and 2.3%, respectively. Partners Group, Amrize, SGS, Schindler Ps, Lindt & Spruengli, VAT Group, Roche, UBS Group, ABB, Nestle, Kuehne + Nagel and Sandoz Group also ended notably lower.
Swisscom and Logitech International posted modest gains.
