The Swiss central bank announced an unexpectedly large interest-rate cut on Thursday, citing rising “uncertainty” about the economic outlook due to the potential impact of Donald Trump’s policies and political turmoil in Europe.
The Swiss National Bank (SNB) lowered its main rate by a half-percentage-point to 0.5 percent, its fourth cut since March as inflation has slowed in the country.
Economic growth was “only moderate” in the third quarter and is forecast to reach 1.0 percent in 2024 and 1.5 percent next year, the SNB said in a statement.
“Growth should pick up somewhat next year, albeit only slightly due to the moderate global economic activity”, the Swiss National Bank (SNB) said in a statement.
The SNB announcement sent the Swiss franc falling 0.3 percent against the dollar and the euro.
The SNB also pointed to the uncertain economic situation.
“Uncertainty about the economic outlook has increased in recent months. In particular, the future course of economic policy in …