Defensive stocks from Switzerland.
By:
StockWeb Monday, January 07, 2008 7:13 PM
Yesterday I mentioned my investing strategy for current volatile market, putting money to defensive dividend stocks.And those companies are today's winners.
GlaxoSmithKline (GSK) was leading gains in London with +3.5%. Swiss market index SMI closed negative nevertheless large pharmaceutical and food caps were still attractive.
Nestle (NESN.VX) +2.19%,Roche (ROG.VX) +1.11% and Novartis (NVS) +1.15%.
Investment in Swiss market can be wise choice. Economy seems headed for its forth straight year of above trend growth. GDP for 2007 2.5% and outlook for 2008 is 2%. Risks for price stability remain on upside.
In context of lowering rates in US and Euro zone Swiss Franc should strengthen against both major currencies. This will bring you additional value for your investment. Franc is not seen as a funding currency for carry trades as it was in past. Switzerland continues to retain status as a safe heaven in recent sub prime mortgage crisis.
The above story is the opinion of the author only and it does not reflect
iStockAnalyst opinion. Further, the author is not personally advising you
regarding the suitability of the story for your investment needs. In no event
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information. Please consult your investment advisor before making any investment
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