The consensus is no change but there is significant speculation that the SNB might announce a 25 basis point cut in its policy rate at Thursday’s Monetary Policy Assessment (MPA). Further falls in already low inflation combined with a strong Swiss franc would seem to have opened the door to what would be the first reduction in the benchmark rate since January 2015 when the central bank also abandoned its minimum exchange rate policy. Currently the rate stands at 1.75 percent, its highest mark in 15 years. However, probably more than most other major central banks, the Swiss monetary authority has acquired a habit of surprising forecasters and most investors seem far from convinced that an ease will come as soon as this week….Econoday
