ZURICH (AFX) - Share prices continued sharply lower in brisk afternoon trading as investor pessimism over the economic outlook triggered a broad-based sell-off, traders said. At 3.25 am, the Swiss Market Index was down 178.20 points or 1.9 pct at 6,077.30 and the Swiss Performance Index fell 117.02 points to 4,206.03. The Swiss New Market Index declined 27.39 points to 459.40. The dollar strengthened to 1.6803 against the sfr, while the euro fell to 1.5157 against the sfr. The blue chip Swiss Market Index moved well below all of 1999's support levels and came only to halt in early afternoon trading, when the downward trend was arrested just above the key 6,000 points level. "It does not look good with US futures continuing lower and sentiment also being negative," a Zurich-based trader said, while other analysts even consider a crash towards the 5,000 points level an increasingly likely scenario. Swissair was the leading loser, diving 4.50 sfr or 5.4 pct to 79, on reports it urgently needs to have parts of its debt cancelled to avoid bankruptcy. The airline, however, said the speculations it is negotiating debt waivers with some of its creditors were wholly inaccurate. ABB plunged 0.95 sfr or 5.8 pct to 15.45, after Credit Suisse gave a sell recommendation until the group's shares reach a level of 13 sfr, while Kudelski dropped 5.40 sfr or 7.2 pct to 69.35, following Nasdaq's decline on Friday as well as its potential capital hike. Credit Suisse lost 2.95 sfr or 4.6 pct to 60.90 as the potential bankruptcy of a large client, Marconi, fuelled fears of non-reimbursement of large debts. "It is clear that the poor economic climate will lead to bankruptcies which will have a negative impact on banks," said a ZKB trader. Elsewhere in the sector UBS dropped 2.70 to 74, and Julius Baer lost 14 to 499. In the insurance sector, Zurich Financial outperformed the market, easing 8 sfr to 417, with Deutsche Bank AG reportedly offering its financial advisor Bonnfinanz as well the insurer Deutsche Herold in exchange for purchasing Zurich Financial Services's asset management arm Scudder Investments. Baloise fell 1 to 132 ahead of Thursday's first half results.