The Swiss Stock Market Pulled Back & Syngenta Plummeted

(RTTNews) - The Swiss stock market ended Wednesday's session with a significant decrease. The index sank sharply in late trade, due to the steep drop in shares of Syngenta. The erosion of early gains on Wall Street also contributed to the late decline.

Investors remain concerned over the slowdown in China, despite continued efforts by the country to boost its economy. China's central bank injected 140 billion yuan into the financial system through its short-term liquidity operations facility today, after it lowered interest rates for the fifth time in nine months yesterday. Experts are predicting that recent volatility will continue in the near future.

The Swiss Market Index declined by 2.40 percent Wednesday and finished at 8,548.75. The Swiss Leader Index fell by 2.47 percent and the Swiss Performance Index lost 2.18 percent.

Syngenta plunged in the final hour of trade, after U.S. rival Monsanto announced that it will no longer pursue a takeover of the company. The stock plummeted by 18.2 percent. Syngenta soared back in May after Monsanto made its first offer for the company.

Shares of oil rig operator Transocean sank by 8.0 percent. The company's Board of Directors wants to halve its annual dividend by cancelling the final two payments. The proposal will be voted on at its extraordinary general meeting in October.

Sonova decreased by 2.8 percent. The pull back was attributed to the quarterly figures from competitor Sivantos, which suggests strong price competition. Clariant fell by 2.6 percent, Richemont lost 2.3 percent and Lonza surrendered 2.2 percent.

UBS fell by 2.6 percent, despite an upgrade to "Overweight" from "Market weight" by Zürcher Kantonalbank. Credit Suisse lost 2.0 percent. The lender was among a list of 20 stocks that Morgan Stanley feels are the best oversold opportunities in Europe.

Zurich Insurance declined by 1.5 percent, after Deutsche Bank reduced its price target on the stock. The bank also confirmed its "Hold" rating on the stock.

The index heavyweights all finished in negative territory. Roche declined by 2.0 percent and Novartis weakened by 2.2 percent. Nestle also finished with a loss of 1.6 percent.

Evolva sank by 7.3 percent. The biotech company had reported results for the first half of 2015 and at the same time announced a capital increase of CHF 60 million.