The Swiss Market Index (SMI) crossed the 15,000-point threshold for the first time in its history on Wednesday. A 1.98 percent gain lifted the lead index to 15,035.39 points at 17:00.
The advance was supported by price increases among heavyweights Nestlé, up 2.2 percent, Novartis, up 1.6 percent, and Roche, up 0.8 percent. UBS gained 4.4 percent and Logitech rose 8.4 percent, while ABB fell 2.2 percent.
The gains in the SMI and its individual equities are attributed largely to the results of the US midterm elections. Market participants noted that the outcome curbed uncertainty, allowing investors to refocus on corporate earnings and economic fundamentals.
Initially, the election results—in which the Democrats won majorities in the Senate and the House of Representatives—did not produce an immediate market reaction. In early trading, both the SMI and the Swiss Performance Index (SPI) hovered near the flat line before investors stepped up activity later in the session.
Alongside the US midterms, declining crude oil prices provided further confidence. The benchmark Brent variety traded roughly 5 percent lower at 99.18 dollars per barrel.
While the SMI crossed the 15,000-point mark, the SPI climbed above 21,000 points for the first time during the same trading session. US stock markets also posted strong gains, with the S&P 500 rising 1.5 percent, the Nasdaq 100 advancing 1.2 percent, and the Dow Jones Industrial Average gaining 2.5 percent.
Ahead of the vote, Daniel Kalt, Chief Economist Switzerland at UBS, wrote that elections like the US midterms frequently cause short-term volatility but are rarely the decisive driver of medium- to long-term market developments.
