The Swiss National Bank slashed interest rates by half a percent yesterday to 0.5% – a far bigger cut than the markets were expecting.
While it won’t be immediate, mortgage rates and rents are likely to come down in the near future.
Analysts now expect rates to reach 0% by the end of next year. The central bank has already warned that negative rates are possible.
The falling rates means property prices are rising, as it’s seen as a better investment than bonds. But savers saw the effect immediately as banks cut rates on saving accounts.
Thousands of Swiss nationals stuck in middle east
Anti-war demonstrators in Geneva
Parmelin signs EU deal
Parliament moves closer to end murder loophole
Water worker buried alive
Petition for quiet cars on trains
