The Swiss Stock Market Suffered One Of Its Biggest Losses Of 2015

(RTTNews) - The Swiss stock market began Tuesday's trading session above the 8,700 point level, but sank beneath the 8,500 point level by the afternoon. The market suffered one of its largest declines of the current year. Only the pull back in late August on China concerns and the January drop after the SNB announced that it would no longer hold the Swiss franc at a fixed exchange rate with the euro were larger than today's decline.

On a light day for economic data, investor concerns over the health of the global economy re-emerged due to the further weakening of commodity prices. Continued uncertainty over when the Federal Reserve will begin to raise interest rates also contributed to the negative mood.

The Swiss Market Index dropped by 3.49 percent Tuesday and finished at 8,475.47. The Swiss Leader Index fell by 3.26 percent and the Swiss Performance Index also lost 3.26.

LafargeHolcim sank 5.2 percent. The cement company is heavily dependent on the health of the global economy, particularly the economies of the emerging markets.

Pharmaceutical companies were also under pressure as investors await the unveiling of a plan by Hillary Clinton to take on "outrageous" price gouging in the specialty drug market. Index heavyweights Roche and Novartis dropped by 3.6 percent and 4.6 percent respectively. Actelion also declined by 3.1 percent.

Zurich Insurance Group tumbled 4.6 percent, extending yesterday's losses. After a profit warning on Monday, the company terminated its attempt to takeover of the U.K.'s RSA.

Swatch declined by 4.2 percent and Richemont lost 2.8 percent. Switzerland's watch exports declined in August from a year ago, figures from the Federation of the Swiss Watch Industry showed Tuesday. Watch exports fell 1.6 percent year-over-year in value terms in August to CHF 1.5 billion. Wrist watch sales, accounting for the bulk of exports, dropped 2.4 percent.

Meanwhile, Sunrise climbed by 1.1 percent. The company announced that it is merging business and residential units and will reduce its workforce by up to 175 employees.