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Swiss Market Index Remains in Green; Geberit Shares Rise

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Swiss stocks remained in the green on Wednesday, with the Swiss Market Index closing 0.46% higher, amid a busy day of corporate earnings and economic data prints across major markets.

Switzerland's industrial production, adjusted for calendar effects, increased 5.5% year over year in the second quarter, following a revised 7.6% drop in the prior three-month period, according to data from the Federal Statistical Office. Analysts expected a 4.7% fall for the month.

Zooming out to the euro area, the annual inflation rate ticked up to 2.9% in July from 2.8% in June, while the annual core inflation rate rose to 2.5% from 2.4%, Eurostat's final data showed. In the UK, the annual inflation rate accelerated to 2.9% in July from 2.6% in the previous month, while the annual core inflation rate remained stable at 2.6%.

Over to corporates, Geberit (GEBN.SW) shares jumped 7.44% at closing as it booked a 2.8% year-over-year rise in first-half net sales to 1.71 billion francs, largely driven by "significant" volume growth due to an improved market environment in Europe and robust product demand. The Swiss sanitary products and bathroom ceramics manufacturer's net income climbed 7.4% over the period to 364 million francs.

"Overall, we view the release as clearly positive given the beat on volume growth in 2Q26 (+8.8% vs 4.7% expected according to Vara Consensus). We would nevertheless remain cautious on the broader residential construction environment, as affordability remains constrained by the still-high interest-rate backdrop. We also see this reflected between the lines of management's guidance, which we view as relatively conservative given the strength of Q2 local-currency sales growth, even after allowing for the usual seasonal pattern," AlphaValue/Baader Europe noted.

Straumann Holding (STMN.SW) was also among several Switzerland-listed companies that published financial results, reporting an increase in first-half IFRS revenue and net result to 1.38 billion francs and 250.7 million francs, respectively, from the year-ago 1.35 billion francs and 238 million francs. The dental products company also appointed Christopher Norbye as its chief executive officer with effect from Dec. 1, succeeding Guillaume Daniellot, as part of a planned leadership transition. At the end of the trading day, the stock was down 2.45%.

On the defense front, the Swiss Federal Council will request an additional 970 million francs from parliament for key investments in the country's security, with the financing earmarked for short- and medium-range ground-based air defense systems, a semi-mobile medium-range radar and defense against mini-drones. The council also plans to invest 100 million francs over the next few years to bolster the army's self-protection capabilities.

Elsewhere and in geopolitical news, President Donald Trump said the US is not in any talks with Iran and has no intention of resuming negotiations, while claiming that the Strait of Hormuz is open, multiple media outlets including CNBC reported. He also ruled out the possibility of extending the recently expired 60-day ceasefire deal with Iran.

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Update: Technology Leads US Equity Indexes Lower as 30-Year Yield Touches 19-Year High, Crude Oil Extends Gains

(Updates with index/price moves, macroeconomic data and company/geopolitical news from the first paragraph.)US equity indexes declined, with chipmakers helping drive technology to the bottom of sector charts, after the 30-year government bond yield touched levels last seen around the 2007 global financial crisis and crude oil prices continued to march higher.The Nasdaq Composite dropped 1.3% to 26,289.71, and the S&P 500 declined 0.7% to 7,691.76 on Tuesday. The Dow Jones Industrial Average slipped 0.2% to 53,343.40. Technology and industrials led decliners. Energy, healthcare and consumer staples topped the gainers.Among companies with market capitalizations exceeding $200 billion each, nine of the top 10 decliners were from the technology sector, according to data compiled by Finviz. Of those nine firms, seven were related to the semiconductor industry. The leader of the pack was Sandisk (SNDK), down 9.2%.US Treasury yields retreated after midday. The 30-year yield fell 2.6 basis points to 5.28% after touching 5.34% intraday, the highest since 2007.The increase in the 30-year yield to a 19-year high comes amid concerns that an imminent escalation in the Middle East sent Brent crude prices above $90 a barrel and will fan fears of inflation, according to a D.A. Davidson research note Tuesday.The household saving rate has plummeted to 2.7% from 6.4% in early 2024, and the housing wealth effect is negative for the middle bulge given falling real house prices, Derek Holt, head of capital market economics at Scotiabank, said in a note Tuesday."When you've got no growth in inflation-adjusted disposable income in the US, and you hit them with higher energy costs, the case for absorption is higher than the case for pass through," Holt said in the note.The front-month US West Texas Intermediate crude oil contract rose 0.8% to $85.18 per barrel, and global benchmark North Sea Brent edged up 0.3% to $91.15 per barrel a day after the deadline to reach a permanent peace deal with Iran expired."There are no talks or conversations going on, or scheduled, with the Islamic Republic of Iran," President Trump posted on his social media platform. The Strait of Hormuz will remain closed until the US meets the conditions of an interim deal signed with Iran in June, Reuters reported Tuesday, citing Iran's negotiator Mohammad Baqer Qalibaf in state media.On the same day, Trump posted an image that showed the Strait of Hormuz as "New U.S. Territory." More than 80% of vessel transits through the Strait of Hormuz over the past two weeks have taken the Omani route - a UN-authorized shipping channel that Iran vehemently opposes - according to Kpler, which tracks ships using transponders and satellite data, CNN reported.Gold futures dropped 1.8% to $4,392.70, and silver futures slumped 4% to $63.57.In economic news, US housing starts plunged 12% sequentially to a seasonally adjusted rate of 1.24 million units last month, the Census Bureau and the Department of Housing and Urban Development said. The consensus was for 1.35 million in a Bloomberg-compiled survey.In company news, ExxonMobil (XOM) remains committed to growing Permian volumes, with a new 20-year integrated midstream agreement with Targa Resources (TRGP) supporting its long-term growth targets, UBS Securities said in a note Monday. Shares of Targa jumped 7.1%, the top gainer on the S&P 500.

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Update: Technology Pushes US Equity Indexes Lower as 30-Year Yield Touches 19-Year High, Crude Oil Rises

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Exchange-Traded Funds Lower as US Equities Decline After Midday

Broad Market IndicatorsBroad-market exchange-traded funds IWM and IVV fell. Actively traded Invesco QQQ Trust (QQQ) declined 1.4%.US equity indexes fell after midday Tuesday amid rising crude oil prices, while the 30-year government bond yield hovered close to levels seen around the 2007 global financial crisis.EnergyIShares US Energy ETF (IYE) and the State Street Energy Select Sector SPDR (XLE) each rose about 1.3%.TechnologyThe State Street Technology Select Sector SPDR ETF (XLK) shed 2.5%; iShares US Technology ETF (IYW) and iShares Expanded Tech Sector ETF (IGM) also declined.The State Street SPDR S&P Semiconductor (XSD) shed 6%, and iShares Semiconductor (SOXX) was down 5.5%.FinancialThe State Street Financial Select Sector SPDR (XLF) added 0.4%. Direxion Daily Financial Bull 3X Shares (FAS) advanced 1.2%, and its bearish counterpart, Direxion Daily Financial Bear 3X Shares (FAZ), declined 1.2%.CommoditiesCrude oil rose 0.7%, and the United States Oil Fund (USO) added 0.4%. Natural gas gained 1.1%, and the United States Natural Gas Fund (UNG) was up 1.6%.Gold on Comex fell 1.2%, and the State Street SPDR Gold Shares (GLD) was down 1.3%. Silver slipped 3.4%, and iShares Silver Trust (SLV) was down 3.1%.ConsumerThe State Street Consumer Staples Select Sector SPDR (XLP) was up 1.4%. The Vanguard Consumer Staples ETF (VDC) added 1.2%, and iShares Dow Jones US Consumer Goods (IYK) rose 1.3%.The State Street Consumer Discretionary Select Sector SPDR (XLY) was up 0.6%. VanEck Retail ETF (RTH) added 0.8%, and the State Street SPDR S&P Retail (XRT) rose 0.6%.HealthcareThe State Street Health Care Select Sector SPDR (XLV) added 1.7%. iShares US Healthcare (IYH) and Vanguard Health Care ETF (VHT) were higher as well. IShares Biotechnology ETF (IBB) climbed up 0.8%.IndustrialThe State Street Industrial Select Sector SPDR (XLI) shed 1.2%. Vanguard Industrials Index Fund (VIS) and iShares US Industrials (IYJ) were also in the red.CryptocurrencyIn midday activity, bitcoin (BTC-USD) rose 0.6%. Among cryptocurrency ETFs, ProShares Bitcoin ETF (BITO) added 0.7%, ProShares Ether ETF (EETH) was up 0.5%, and ProShares Bitcoin & Ether Market Cap Weight ETF (BETH) was down 0.2%.

Dow Jones^EEM^EXI^FAS^FAZ^GLD^IBB^IGM^IGV^IPK^IVV^IWMNasdaq Composite^IYE^IYH^IYJ^IYK^IYW^PMR^QQQ^RTH^SOXXS&P 500^SPY^UNG^USO^VDC^VHT^VIS^XLE^XLF^XLI^XLK^XLP^XLV^XRT^XSD$BETH$BITO$EETH