Swiss Market Index Joins European Retreat; Novartis Falls

11:49 AM EST, 11/06/2026 (MT Newswires) -- Swiss equities joined a regional retreat in Europe on Friday, with the blue-chip Swiss Market Index closing 1.15% lower, amid bleak consumer sentiment domestically and a global selloff in artificial intelligence-related stocks. Government data showed that Switzerland's consumer sentiment index fell to -44.9 points in October from -35.8 points in September. In the previous year, the index stood at -36.9 points. The State Secretariat for Economic Affairs said the separate indices for past financial situation, financial outlook and the moment to make major purchases weakened on an annual basis, while the indicator for economic outlook "barely changed." Meanwhile, the country's foreign currency reserves declined to 758.50 billion francs in October from the revised 770.30 billion francs previously, according to data from the Swiss National Bank (SNBN.SW). In corporate news, Novartis (NOVN.SW) told MT Newswires in an emailed statement that it received nine reports of tumors in patients treated with its Zolgensma gene therapy for spinal muscular atrophy since the drug's first approval in 2019. The two children with confirmed evidence of vector DNA integration have undergone treatment and remain under monitoring. Novartis added that it had notified health authorities in both cases and would continue working with them on next steps. At closing, the Swiss pharmaceutical major's stock shed 0.78%. RBC Capital Markets raised its price target for UBS Group (UBSG.SW) to 50 francs from 44 francs, with an outperform rating on the stock, expecting the Swiss bank to focus on capitalizing on its franchise through investments, particularly in the digital and artificial intelligence world, as the integration of Credit Suisse nears completion. UBS shares ended the session 0.88% in the red. "As the CS integration is completed, we expect the next phase (to be presented early 2027) to focus on capitalising on the current set up with [too-big-to-fail] rules moving out of the centre of debate. We expect further return expansion based on GWM growth, operating leverage and capital management supporting a re-rating of shares," RBC said.