Swiss Stocks Are Little Changed as UBS Climbs on Earnings

Swiss stocks were little changed, after the benchmark Swiss Market Index declined last week, as UBS AG (UBSN) and Julius Baer Group Ltd. (BAER) advanced.

UBS added 3.4 percent after Switzerland’s largest bank said that profit probably increased in its second quarter. Julius Baer rose 5.5 percent after posting a first-half profit.

The SMI (SMI) climbed 0.1 percent to 7,933.83 at 10:01 a.m. in Zurich. The equity benchmark retreated 0.7 percent last week as a report showed German investor confidence unexpectedly declined. The broader Swiss Performance Index also gained 0.1 percent today.

The volume of shares changing hands in SMI-listed companies was 79 percent greater than the average of the past 30 days, according to data compiled by Bloomberg.

A report at 10 a.m. New York time may show U.S. house sales climbed in June to the highest level since November 2009. Sales of previously owned properties rose to a 5.25 million annualized pace from 5.18 million in May, according to the median forecast of 65 economists in a Bloomberg survey.

UBS gained 3.4 percent to 18.20 Swiss francs, its highest price since March 2011, after reporting second-quarter net income of 690 million Swiss francs ($734 million) in preliminary results. The lender also said it reached an agreement in principle with the U.S. Federal Housing Finance Agency to settle claims related to residential mortgage-backed security offerings from 2004 to 2007. UBS publishes its full results for the second quarter on July 30.

Julius Baer soared 5.5 percent to 41.98 francs even after posting a 30 percent drop in first-half profit. Switzerland’s third-biggest wealth manager said net income fell to 114 million francs as it raised the estimate of the cost of integrating the Merrill Lynch businesses acquired from Bank of America Corp.

Credit Suisse Group AG (CSGN), Switzerland’s second-largest bank, added 1.7 percent to 28.39 francs.

To contact the reporter on this story: Tom Stoukas in Athens at astoukas@bloomberg.net

To contact the editor responsible for this story: Andrew Rummer at arummer@bloomberg.net

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