Shares in the major Swiss watchmaking groups fell yesterday as the country’s trade association announced that October recorded the sharpest fall in global exports this year.
There had been hope that the fourth quarter of 2016 would mark the start of a fight back for the industry, but a global fall of 16.4% over October 2015 prompted a sell-off of shares in Swatch Group, Richemont and LVMH.
Swatch Group shares were down 3.61% at the close of business in Switzerland on Tuesday.
Compagnie Financiere Richemont shares were down 2.96% at the closing bell.
LVMH, which has a broader portfolio of luxury brands, was down just 0.12%.
Financial markets may have already baked in expectations of a tough second half for the Swiss watchmaking industry.
Following disappointing financial results for the first half of 2016 by Swatch Group, chief executive officer Nick Hayek (pictured) said that sales for the full year could drop by up to 6%.