According to the survey conducted from July 5th to 11th, the Swiss central bank's last interest rate cut of 25 basis points will take place in September, following two similar cuts in March and June.
It is noteworthy that the survey of economists shows that the Swiss central bank will only cut interest rates once during this period.
According to the survey conducted from July 5th to 11th, the Swiss central bank's last interest rate cut of 25 basis points will take place in September, following two similar cuts in March and June. This will lower the benchmark interest rate to 1%.
The Swiss central bank was the first major developed economy central bank to launch loose policies this year and was able to stop raising interest rates before other central banks around the globe. This was mainly because when the inflation crisis struck, Switzerland's inflation rate was one of the lowest in the world.
Earlier this month, Swiss National Bank Chairman Thomas Jordan said he was 'relatively satisfied' with the country's consumer price outlook.
Switzerland's inflation rate rose 1.3% year-on-year in June, and the surveyed economists expect the inflation rate to remain at this level in the third and fourth quarters, and to further slow down next year. This fully matches the Swiss central bank's target range of 0-2%.