The Swiss Stock Market Rose Sharply After Fed Begins Tapering

(RTTNews) - The Swiss stock market rallied higher on Thursday, after the Federal Reserve announced late Wednesday that it will taper its massive bond-buying program by $10 billion to $75 billion per month. The rally brought the Swiss market back above the 8,000 point level.

The announcement from the Fed has strengthened the confidence of investors regarding the economic recovery in the United States. The strong rally of the U.S. markets late Wednesday also provided a boost to investor sentiment on Thursday. The S&P 500 index and the Dow Jones both climbed to new record highs.

The Swiss Market Index increased by 1.87 percent Thursday and finished at 8,028.27. The Swiss Leader Index climbed by 1.64 percent and the Swiss Performance Index added 1.73 percent.

The index heavyweights all finished with solid gains Thursday. Novartis led the way with a gain of 2.9 percent, while Roche added 2.2 percent. Shares of Nestle also finished higher by 1.0 percent.

Financial stocks also turned in a positive performance. Credit Suisse increased by 2.5 percent, while UBS rose by 2.1 percent. Julius Baer also gained 2.8 percent.

Actelion was one of the strongest performers on Thursday, with an increase of 3.6 percent. The stock turned in impressive gains despite the pharmaceutical company's defeat before the California Court of Appeals in a dispute with the Japanese company Asahi.