"This is still not the end of the crisis"
- Stephen Pope, managing partner at Spotlight Ideas
Swiss stocks were little changed on Wednesday, after Germany's Constitutional Court said it would not block ratification of the Eurozone's rescue fund. The ruling cleared the way for Germany's president to ratify the European Stability Mechanism under certain conditions — German liability to the rescue fund must be limited to 190 billion euros and both houses of parliament must be informed about any possible changes to the ESM.
The Swiss blue-chip index SMI, a measure of the largest and most actively traded companies slid 0.10 per cent to 6,483.55. The broader Swiss Performance Index erased 0.10 per cent to 6,010.99.
"There were no nasty surprises to come out of the German ratification so the market got the outcome that it wanted," said James Buckley, a London-based fund manager at Baring Asset Management Ltd.
"This is still not the end of the crisis. This is a situation where we have short-term relief, but you have to notice the conditionality effect," said Stephen Pope, managing partner at Spotlight Ideas.
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