Swiss Gird for Stocks to Fall as Markets Reopen After Tariff Hit [View all]

Source: msn/Bloomberg

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(Bloomberg) -- Swiss stock investors are bracing for Monday’s market reopening after US President Donald Trump slapped a punitive 39% export tariff on the country, among the highest in the world.

Trump’s tariff rollout landed on a holiday, Swiss National Day, which means any market fallout will only be felt once trading resumes on Monday. While Trump’s fresh tariff salvo left baseline rates unchanged for many of the US’s trading partners, some like Canada and Switzerland got hit with significantly higher duties.

Switzerland, known for its luxury watches, rich chocolates and banking giants, is one of the US’s biggest trade partners. Last year, it exported more than $60 billion of goods to the US, ranging from pharmaceuticals and medical devices to Nespresso coffee. So the 39% tariff rate is likely to roil the market Monday even if some investors cling to the hope that it’s just another one of Trump’s negotiating ploys.

“Clearly, the Swiss market’s first reaction will be negative,” said Andreas Wosol, head of Amundi SA’s European equity value strategies. “But then attention turns to negotiations. This is an announcement where Trump wants a reaction rather than to impose this level of tariff.”

Read more: https://www.msn.com/en-us/money/markets/trump-tariffs-stun-swiss-investors-ahead-of-monday-s-market-open/ar-AA1JOzUf