The Swiss Market Index concluded Tuesday's trading session 0.50% in the red as investors took stock of the latest corporate and economy-related releases at home and abroad.
The Organisation for Economic Co-operation and Development now expects Switzerland's real gross domestic product, not adjusted for sporting events, to increase 2% in 2026, up from its June forecast of 1.1%. For 2027, the OECD edged down its Swiss GDP growth estimate to 1.4% from the previous 1.5%.
"The Swiss economy has weathered recent shocks comparatively well, with continuously positive growth, low inflation, low unemployment and sound public finances. This has not least been thanks to its stable political environment and strong institutions. As a small, open and highly globalised economy, however, Switzerland has been highly exposed to global developments including swings in external demand, major changes in international trade policies and geopolitical uncertainty," the OECD said in its latest Economic Survey report. "Inflationary pressures have been low and are expected to remain so, despite higher energy prices."
Meanwhile, flash data from the Federal Statistical Office showed that Switzerland's hotel sector recorded a 2.1% annual decline in overnight stays for August. Hotel bookings by Swiss nationals were down 1.9%, while those from foreigners fell 2.2%.
On the corporate front, Sandoz Group (SDZ.SW) issued a 12-year bond worth 500 million euros, with a coupon of 4.835%. The Swiss pharmaceutical major will use the proceeds from the issuance to refinance existing debt and for other general corporate needs. Sandoz's shares were down 1.08% at the end of the trading day.
Deutsche Bank Research launched its coverage of Medacta Group (MOVE.SW) with a hold rating and a price target of 121 francs, noting that the orthopedic products company has consistently gained market share since its initial public offering in 2019. At closing, the stock shed 4.16%.
"We believe its innovation-led approach and surgeon education platform should continue to support above-market growth. However, we believe market expectations underestimate both growth normalisation and the investment required to sustain future expansion. While Medacta's competitive advantages remain intact, sustaining its historical growth rates will become increasingly challenging as the business scales," according to the research firm.
"In our view, consensus underestimates the degree of normalisation ahead, with our 2028 organic sales, adj. EBITDA and EPS estimates 3%, 6% and 9% below consensus, respectively. Notably, 2026 represents a break from Medacta's historical beat-and-raise pattern, as current guidance requires an acceleration in H2 growth," Deutsche Bank Research added.