SNB leaves interest rates unchanged at 0.00% as expected in December

  • Prior 0.00%
  • Willing to be active in the foreign exchange market as necessary
  • Sees 2025 inflation at 0.2% (0.2% prior)
  • Sees 2026 inflation at 0.3% (0.5% prior)
  • Sees 2027 inflation at 0.6% (0.7% prior)
  • Sees 2025 GDP at around 1.5% ( 1.0-1.5% prior)
  • Sees 2026 GDP at around 1.0% (1.0% prior)
  • Inflationary pressure is virtually unchanged compared to the last monetary policy assessment
  • Main risk to the economic outlook for Switzerland is the development of the global economy
  • Economic outlook for Switzerland has improved slightly due to the lower US tariffs and somewhat better development globally
  • Although US tariffs and trade policy uncertainty weighed on the global economy, economic development in many countries has thus far remained more resilient than had been assumed
  • Baseline scenario anticipates growth in the global economy will be moderate over the coming quarters
  • US tariffs and trade policy uncertainty could yet weigh more heavily on global economic momentum than ovbserved thus far
  • At the same time, however, it cannot be ruled out that the global economy will continue to develop better than expected in the coming quarters
  • Full statement here

The Swiss Franc strengthened a bit following the decision as the SNB sounded a bit more optimistic on the economy given the positive developments on the tariffs front.

This article was written by Giuseppe Dellamotta at investinglive.com.

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