Swiss National Bank President Thomas Jordan who recently hinted that the central bank was going to raise interest rates further, saying “resolute action” was needed to curb rising prices, told trade today that it is “highly likely” that the SNB will have to tighten monetary policy further, as inflation is likely to remain high for some time.
He also said that the nominal appreciation of the Swiss franc is helping to shield inflationary pressure. Last week, Jordan said the SNB was prepared to take “all necessary steps” to bring inflation back to its 0-2% target range and that current monetary policy was not tight enough to achieve this.
Featured Statements
In 2023, we will see weaker Swiss growth than this year.
Inflation in Switzerland is likely to remain high for some time, although lower than in other advanced economies.
We see limited second-round wage effects in Switzerland.
The SNB still has credibility in the eyes of business that inflation will moderate.
USDCHF Update
Meanwhile, the USDCHF decline is slowing and the formation of the M could be a significant feature for the coming week as a reversal pattern is playing out in a 150% range expansion of the first trading week. in November:
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.
