On Tuesday, the Swiss market initially showed signs of optimism but soon slipped into negative territory for the remainder of the session. This decline was driven by rising geopolitical tensions, uncertainty surrounding interest rates, and concerns over the global economic outlook.
The intensification of the conflict between Russia and Ukraine, along with reports of Russian President Vladimir Putin revising the country's nuclear weapons policy, contributed to the downturn in market sentiment. Kremlin spokesperson Dmitry Peskov indicated that the updated doctrine allows Russia the option to deploy nuclear weapons in response to conventional weapon aggression against Russia or Belarus that threatens their sovereignty or territorial integrity. Furthermore, any aggression against Russia involving support from a nuclear state is deemed a collaborative attack, as reported by NBC News.
Consequently, the Swiss Market Index (SMI) ended the day down by 98.17 points or 0.84%, closing at 11,541.43. This was notably above the session's low of 11,428.87, although the index did reach 11,709.23 in early trading.
Among the stocks, Sonova experienced a decline of 5.21%, while Swatch Group fell by 2.21%. Nestle and Richemont both ended the day with nearly a 2% decrease. Other stocks such as Julius Baer, Adecco, Partners Group, Logitech International, Roche Holding, Alcon, and Sika saw losses ranging from 1% to 1.7%. Swisscom, SGS, Geberit, Swiss Life Holding, ABB, and UBS Group also finished weaker.
Conversely, Givaudan saw a gain of approximately 1.5%, with Lonza Group closing 1.14% higher. SIG Group and Straumann Holding registered marginal gains.
In terms of trade, Switzerland's foreign trade surplus exhibited a modest rise in October, despite a surge in exports, as per data from the Federal Customs Administration. The trade surplus increased to CHF 5.97 billion, up from CHF 4.03 billion in September. In real terms, exports surged by 11.2% month-on-month, rebounding from a 2.3% fall in September, while imports rose steadily by 0.7%. Nominally, exports and imports grew by 10.2% and 1.8%, respectively.
For further insights, visit: [SIX Group Market Data](https://www.six-group.com/en/market-data/shares/closing-prices.html) and [RTT News Swiss Trade Surplus](https://www.rttnews.com/3491387/swiss-trade-surplus-grows-on-sharp-export-recovery.aspx?type=eueco).