Stocks Extend Losing Streak as Swiss National Bank Holds Key Rate at Zero

11:55 AM EST, 12/11/2025 (MT Newswires) -- The Swiss Market Index extended a losing streak to three days at 0.13% in the red as investors mull over the latest key monetary policy decisions and other global economic data. The Swiss National Bank (SNBN.SW) left its policy rate unchanged at 0%, as expected, noting that inflationary pressure remains "virtually unchanged" in the medium term despite lower-than-anticipated inflation in recent months. The central bank also said the outlook for Switzerland's economy has "slightly" improved as a result of lower US tariffs and the "somewhat better" development of the global economy. "Nevertheless, risks remain that inflation in the coming months will be too low and could fall into negative territory for several months. Indeed, the SNB has revised down its inflation forecasts for the next quarters: 0.1% is expected for Q1 2026, 0.2% for Q2 and 0.3% for Q3 (versus 0.5%, 0.5% and 0.6% expected at the September meeting)," ING said. "Overall, we believe the SNB will keep rates at 0% in the coming months. Even though this is not our base case, the probability that it will be forced to cut rates again is probably higher than markets currently expect." Across the pond, the US Federal Reserve reduced its benchmark interest rate by 0.25 percentage point to the 3.50% to 3.75% range, in line with market forecasts, with a 9-3 vote in favor of the cut. Over to corporates, Alcon (ALC.SW) was down 1.59% at closing after Broadwood Partners and its affiliates, which currently hold a 30.2% stake in Staar Surgical, continued to express their opposition to the Swiss eye care products group's proposed acquisition of the US-based ophthalmic surgery-focused company. Alcon recently improved its offer to purchase Staar to $30.75 per share in cash from the previous $28 per share, for a total equity value of $1.6 billion. Meanwhile, DKSH (DKSH.SW) is bolstering its capabilities in the food and beverage sector in New Zealand and Australia by buying specialty ingredients distributor Invita. The deal is expected to close in December 2025 or the first quarter of 2026. The Swiss market expansion services provider's stock closed the session 2.55% higher.