Swiss Stocks Are Becoming a Haven From AI Fears Roiling Markets

Swiss stocks are proving defensive amid turmoil across European equities tied to AI-related worries. The Swiss Market Index (SMI), which tracks the 20 largest and most liquid companies in Switzerland, is up 4.6% so far this month. In contrast, the Euro Stoxx 50, its euro-area benchmark, has fallen during the same period. The divergence is being attributed to investors rotating toward “ultra-defensive” large Swiss firms as risk appetite weakens elsewhere in Europe. The SMI’s outperformance highlights how, when markets feel uncertain, capital can flow into perceived stability rather than growth.