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"We're witnessing political polarization spooking markets"
- Henrik Henriksen, chief investment strategist at PFA Pension fund
Swiss stocks edged lower for a fifth consecutive day on Wednesday after Germany failed to get bids for 35 percent of the 10-year government bonds and Markit report showed Chinese manufacturing sector may contract in November.
The Swiss blue-chip index SMI, a measure of the largest and most actively traded companies, lost 1.13%, or 61.52 points, to 5,386.14. The broader Swiss Performance Index slid 1.20%, or 59.52 points, to 4,880.15.
"We're witnessing political polarization spooking markets," said Henrik Henriksen, chief investment strategist at Copenhagen-based PFA Pension fund. "There's a polarization between Germany on one side, ruling out the ECB buying bonds on a larger scale, which is exactly what investors see as the way to bring back more stability to markets."