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10 Dec 2015
Swiss and Eurozone interest rate differential remains significantly wider – SNB’ Jordan
FXStreet (Mumbai) - Swiss National Bank’s (SNB) Jordan, during the post-rate decision policy press conference, assured the markets that the interest rate differential remains significantly wider than at start of 2015 despite the ECB’s cut in the deposit rate.
A significant majority in the markets speculated earlier today that the bank may cut the deposit rate in order to maintain the interest rate differential. However, the bank left rates unchanged at -0.75%.
Jordan’s Key Quotes
Inflation expectations have stabilized since CHF cap was removed
Diverging monetary policy stances in major currency areas present huge challenges for small economies like Switzerland
Maechler’s Key Quotes
The interest rate is a key instrument of monetary policy.
A significant majority in the markets speculated earlier today that the bank may cut the deposit rate in order to maintain the interest rate differential. However, the bank left rates unchanged at -0.75%.
Jordan’s Key Quotes
Inflation expectations have stabilized since CHF cap was removed
Diverging monetary policy stances in major currency areas present huge challenges for small economies like Switzerland
Maechler’s Key Quotes
The interest rate is a key instrument of monetary policy.