SWITZERLAND: Swiss Stocks Increase as Holcim, Actelion Advance in Zurich

Swiss stocks climbed, rebounding from the biggest selloff in four weeks, as banks advanced and Holcim Ltd. rallied in Zurich.

UBS AG and Credit Suisse Group AG advance at least 1 percent as JPMorgan Chase & Co. reported record profit. Holcim rallied 4.5 percent after analysts recommended the cement maker. Actelion Ltd. climbed 1.2 percent on a report that the company may consider a sale.

The Swiss Market Index of the biggest and most actively traded companies gained 0.7 percent to 6,397.86 at 3:00 p.m. in Zurich. The broader Swiss Performance Index also increased 0.7 percent to 5,835.10.

The benchmark Swiss gauge tumbled 1.4 percent yesterday, led by exporters, after Tokyo Electric Power Co. said its earthquake-hit Fukushima Dai-Ichi nuclear power plant may release more radiation than Chernobyl.

UBS, Switzerland's largest bank, gained 1.6 percent to 16.98 francs. Credit Suisse, the second-biggest, rose 1 percent to 40.5 pence.

JPMorgan, the second-largest U.S. bank by assets, posted a 67 percent increase in first-quarter profit, beating analysts' estimates. The bank also reported a decline in provisions for bad mortgages and credit-card loans.

Holcim jumped 4.5 percent to 74 Swiss francs after Sanford C. Bernstein & Co. named the cement maker its "top pick" in the European buildings materials industry. Exane BNP Paribas today raised its recommendation for the sector to "outperform" and lifted its rating on Holcim to "neutral" from "underperform."

'Positioned to Benefit'

"We believe the company is positioned to benefit from the recovery themes we expect will surprise in 2011-12," wrote Phil Roseberg, a senior analyst at Bernstein in a report to clients. "Specifically high-margin growth from operating leverage as well as exposure to the faster pace of recovery in CEE and Mexico."

Actelion jumped 1.2 percent to 51.8 francs. Reuters reported that the company will consider a sale if a suitor makes an offer "even close" to what the Swiss biotechnology company considers its value. The news agency cited Chairman Robert Cawthorn.

Actelion's chairman said it's a bad time to sell, though he will recommend any appropriate bid, according to Reuters. Actelion has yet to receive any offers, Cawthorn said.

Lonza Group AG dropped 4.7 percent to 73.55 francs after the world's biggest supplier of chemicals to drug companies predicted that its first-half performance will be weaker than last year because of the strong franc and rising raw-material prices.