SNB Cuts 25bps to 0.25%: Swiss Franc Dynamics in Play
March 17, 2025Policy Move and Inflation Trends
March 17 - The Swiss National Bank is expected to cut its key policy rate by 25 basis points on March 20, bringing it down from 0.5% to 0.25% and holding that level until at least 2026. This decision follows the SNB's surprise 50bps cut in December, after which inflation continued its downward trajectory—hitting a near four-year low of 0.3% in February—leaving room for further easing, though the risk of rates turning negative now appears very low.
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Dollar Consolidates Amid Tariff Fears, Swiss Franc Gains
March 14, 2025US Dollar Rebounds as Trade Uncertainty Persists
March 14 - The US dollar rose modestly on Thursday against most major currencies, bolstered by investors consolidating positions after a prolonged period of weakness amid escalating tariff concerns. Despite recent selloffs driven by fears over President Trump's potential 200% tariffs on wine, cognac, and other alcohol imports from Europe—and threats to retaliate against EU counter-tariffs—the greenback managed a slight recovery as market participants reassessed their risk exposure.
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EU Confronts Trump Tariffs, Swiss Franc Plays Key Role
March 11, 2025EU Faces New Round of U.S. Tariffs
The European Union is preparing for its first wave of U.S. tariffs on Wednesday, with a 25% duty imposed on aluminium and steel imports—measures that will affect EU metal exports more significantly than those from 2018. Previously, tariffs imposed by the Trump administration in 2018 impacted EU metal shipments valued at €6.4 billion; however, the new tariffs not only reapply those measures but also increase the aluminium duty from 10% to 25%, expanding their reach to derivative products such as steel machinery parts and aluminium-rich items ranging from car bumpers to tennis rackets.
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SNB Posts Record Profit of Nearly $90 Billion in 2024
March 03, 2025Historic Profit Surge Driven by Booming Markets
The Swiss National Bank (SNB) reported an unprecedented annual profit of 80.7 billion Swiss francs (approximately $89.50 billion) in 2024, smashing its previous record of 54 billion francs set in 2017. This extraordinary turnaround follows a loss of 3.2 billion francs in 2023 and slightly exceeds earlier estimates of around 80 billion francs for the full-year result. The impressive profit was fueled by thriving equity markets, soaring gold prices, and a stronger U.S. dollar, which together boosted the SNB’s performance.
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Swiss Immigration Plummets 15% in 2024: A Dramatic Shift
February 20, 2025Significant Drop in New Immigrants
FEB 20 - In 2024, immigration to Switzerland fell sharply by 15.6%, with only 83,392 new arrivals recorded compared to the previous year. This steep decline comes as the total number of individuals joining the permanent foreign resident population dropped by 6%—a decrease of 10,946 people—indicating a substantial shift in migration trends.
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