Swiss stocks erased losses on Tuesday

Swiss stocks rose on Tuesday as investors expect Italian Prime Minister Silvio Berlusconi to step down after he lost governing majority. The Swiss blue-chip index SMI, a measure of the largest and most actively traded companies, advanced 0.65%, or 36.69 points, to 5,682.65. The broader Swiss Performance Index declined 0.62%, or 32.11 points, to 5,175.45.

"I think the markets are up because investors are betting on Berlusconi stepping down," said Roland Schuermann, a trader at Luzerner Kantonalbank in Lucerne, Switzerland. "It would make way for something new."