Following the decision to lower the official interest rate to 1.50%, the President of the Swiss National Bank (SNB), Thomas Jordan, has stated that the “relaxation of monetary policy has been possible because the fight against inflation has been effective”.
Featured Statements
Inflation is likely to remain within the target range for the next few years.
We see lower second-round effects of inflation.
Uncertainty remains high, policy will be adjusted again if necessary.
Price momentum has slowed more quickly than expected in December.
Swiss growth is likely to remain modest in the coming quarters.
The weakness of foreign demand and the appreciation of the Franc have had a moderating effect.
We remain ready to intervene in the foreign exchange market if necessary.
Reducing interest rates is 100% compatible with our framework.
Inflationary pressure is much lower than 3 months ago.
We do not give any guidance on interest rates in the future, we will see where we are in 3 months.
The rate cut is not a gift, we always make the right decisions.
We always make our monetary decisions regardless of what other central banks do.
We have no target for the size of our balance sheet, we have no need to reduce it.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
