Switzerland’s Central Bank Shifts Investments in Tech Stocks

  • Swiss National Bank reduced its investment in Apple stock
  • Bank sold positions in Lucid Group and Shopify
  • Increased stake in Virgin Galactic Holdings
  • Swiss National Bank’s assets decreased by $95 billion from the previous year
  • Apple stock slipped 11% in the first quarter, up 11% in the second
  • Lucid shares dropped 32% in the first quarter, down 2.5% in the second
  • Shopify stock declined 1% in the first quarter, down 26% in the second
  • Virgin Galactic stock fell 40% in the first quarter, down 42% in the second
  • Swiss National Bank sold 4.9 million Apple shares
  • Bank sold 1 million Lucid shares
  • Shopify warned of slower sales growth and narrower margins
  • Virgin Galactic burned through less cash than expected in Q1
  • KeyBanc Capital Markets noted Virgin Galactic’s reduced cash burn

The Swiss National Bank has made significant changes to its U.S.-listed equities portfolio, selling Apple, Lucid Group, and Shopify stocks while increasing its stake in Virgin Galactic Holdings. The bank’s assets dropped to $869 billion from the previous year due to foreign currency sales. Apple stock fell 11% in Q1 but rose 11% in Q2, while Lucid shares plummeted 32%, and Shopify stocks declined 1% in Q1 and 26% in Q2. Virgin Galactic’s stock dipped 40% in Q1 and 42% in Q2. The bank sold 4.9 million Apple shares, 1 million Lucid shares, and 270,500 Shopify shares. Lucid Group reported disappointing first-quarter results, and Shopify warned of slower sales growth and narrower margins.

Factuality Level: 8
Factuality Justification: The article provides accurate information about the Swiss National Bank’s recent changes in its portfolio of U.S.-listed equities, including selling Apple, Lucid, and Shopify stocks while increasing its stake in Virgin Galactic Holdings. It also includes relevant details on each company’s performance and the reasons behind the bank’s decisions. The article is not overly dramatic or opinionated, and presents facts without any clear bias.
Noise Level: 6
Noise Justification: The article provides information on recent changes in the Swiss National Bank’s portfolio of U.S.-listed equities but lacks a comprehensive analysis or contextualization of these changes. It also includes some irrelevant details about Apple and Lucid Group’s decisions that are not directly related to the central bank’s actions.
Public Companies: Apple (AAPL), Lucid Group (LCID), Shopify (SHOP), Virgin Galactic Holdings (SPCE)
Key People: Sherry House (Former Chief Financial Officer of Lucid Group, Future CFO of Ford Motor), Jeff Hoffmeister (Chief Financial Officer of Shopify)

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Financial Relevance: Yes
Financial Markets Impacted: Apple, Lucid Group, Shopify, Virgin Galactic Holdings
Financial Rating Justification: The article discusses changes in the Swiss National Bank’s portfolio of U.S.-listed equities, specifically its investments in Apple, Lucid Group, and Shopify, as well as its increased stake in Virgin Galactic Holdings. These companies are financial entities and their stock market performance is mentioned, which can impact financial markets.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no extreme event mentioned in the article.

Reported publicly: www.marketwatch.com