SNB surprise rate cut

Friday, 22 March 2024 06:30

The Swiss National Bank surprised markets yesterday by cutting interest rates by a quarter of a percent to 1.5%.

Markets were expecting a hold decision.

It makes the SNB the first major central bank to start cutting rates in this cycle.

The bank says the fight against inflation has been effective. Inflation was just 1.2% last month.

Policy makers have a target below 2% for inflation. At that level, prices are considered stable.

The stock market rose on the news, while the franc fell on the currency markets.

More from Bitesize News

Thousands of Swiss nationals stuck in middle east

Bern says it’s not able to repatriate thousands of Swiss citizens who are either resident in the middle east - or stranded as their flights have been cancelled.
Anti-war demonstrators in Geneva

Around a hundred people gathered in Geneva yesterday evening to protest the war in Iran.
Parmelin signs EU deal

Swiss President Guy Parmelin met European Commission President Ursula von der Leyen in Brussels yesterday to advance a new package of bilateral agreements between Switzerland and the EU.
Parliament moves closer to end murder loophole

Switzerland is moving closer to abolishing the 30 year statute of limitations for murder.
Water worker buried alive

A worker has died after being buried alive in canton Fribourg.
Petition for quiet cars on trains

A woman from Biel in canton Bern has launched an online petition calling for quiet carriages in second class on Swiss trains.