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SNB signals further rate hikes to come

Today’s decision by the Swiss National Bank (SNB) to raise the target mid-point for the 3 month Libor by 25bps to 2.0% came as no surprise whatsoever. After all, the press statement accompanying its last interest rate decision in September stated that a further ‘gradual adjustment’ of monetary policy wouldbe warranted ‘if the economy performs as expected’.

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