Nordic & Swiss Economics Focus Switzerland’s 778 billion franc question The acquisition of reserve assets by the Swiss National Bank (SNB) has seen it take on a role more suited to fund managers than central bankers. Faced with the prospect of negative bond yields further... 21st August 2019 · 18 mins read
Nordic & Swiss Economics Weekly Swiss bonds soar; Norges Bank hawkish no more Safe-haven demand has seen Swiss bond yields plumb new depths and has continued to boost the franc. We think that it is only a matter of time before the SNB cuts interest rates further into negative... 16th August 2019 · 4 mins read
Nordic & Swiss Chart Pack SNB to shift through the gears The pick-up in FX interventions by the Swiss National Bank (SNB) in recent weeks is likely to be the first step towards a rate cut. But predicting when the interventions will be dialled down and the... 15th August 2019 · 10 mins read
Nordic & Swiss Central Bank Watch One more hike by the Norges Bank; SNB to cut further Investors have moved in line with our previously uber-dovish forecasts for the SNB and the Riksbank in recent months. Meanwhile, although further tightening is in the pipeline in Norway, investors are... 8th August 2019 · 8 mins read
Nordic & Swiss Economics Update SNB will not fear being branded a ‘manipulator’ While much of the market’s focus has been on China, Switzerland appears set to become the first country to meet all three of the US Treasury’s criteria of being a ‘currency manipulator’ later this... 7th August 2019 · 3 mins read
Nordic & Swiss Data Response Swiss CPI & Manufacturing PMI (July) The unexpected fall in Swiss inflation in July, and signs of a deepening downturn in the industrial sector, will only strengthen the resolve of the SNB to resist the rising franc. There is a growing... 2nd August 2019 · 2 mins read
Nordic & Swiss Economics Update Swiss franc likely to continue rallying against the euro The Swiss franc has been the best performing G10 currency over the past three months, despite falling back a bit after the ECB meeting on Thursday. We think that monetary policy as well as safe-haven... 26th July 2019 · 3 mins read
Global Markets Update Swiss franc likely to continue rallying against the euro The Swiss franc has been the best performing G10 currency over the past three months, despite falling back a bit after the ECB meeting on Thursday. We think that monetary policy as well as safe-haven... 26th July 2019 · 3 mins read
Nordic & Swiss Economics Update SNB to cut rates in Q1 2020 While recent market attention has been on the ECB and Fed, the rise in the Swiss franc has ratcheted up the pressure on the SNB. As a result, investors have come around to our view that the Bank will... 23rd July 2019 · 3 mins read
Nordic & Swiss Economics Weekly No more “boring” SNB, Riksbank in denial The Swiss 10-year bond yield dropped to a record low this week, and the prospect of further easing by the Swiss National Bank suggests that the rally has further to run. Meanwhile, although the... 5th July 2019 · 6 mins read
Nordic & Swiss Data Response Swiss Consumer Prices (Jun.) Swiss inflation held steady at a very low rate in June and we expect it to fall to zero during the second half of the year on the back of the stronger franc. With deflationary fears set to come back... 4th July 2019 · 2 mins read
Nordic & Swiss Economics Update Why ‘yield curve control’ wouldn’t work for the SNB Swiss pension funds and life insurers have been among the losers from negative interest rates, but the SNB is unlikely to follow the Bank of Japan’s example of targeting long-term bond yields to limit... 2nd July 2019 · 3 mins read
Nordic & Swiss Data Response Manufacturing PMIs (Jun.) The Swiss manufacturing PMI for June shows that conditions in the industrial sector have worsened going into H2, while the indicator from Sweden suggests that the economy contracted in the second... 1st July 2019 · 2 mins read
Nordic & Swiss Economics Weekly Swiss-EU spat boils over; Riksbank to lower rate path The dispute between Switzerland and the EU has shifted up a gear but is unlikely to prevent the Swiss franc from rising further this year. Meanwhile, although the Riksbank looks certain to leave its... 28th June 2019 · 5 mins read
Nordic & Swiss Economics Update Swiss-EU spat no threat to the franc’s safe haven status While the escalating spat between Switzerland and the EU has drawn obvious parallels with Brexit, the implications for Switzerland are likely to be quite modest. And while Brexit has taken a toll on... 26th June 2019 · 4 mins read
Nordic & Swiss Economics Weekly Perma-doves at the SNB, Norges Bank to hike again The Swiss National Bank’s decision to leave its monetary policy settings unchanged on Thursday was something of a formality. But whereas some commentators have suggested that the Bank is out of... 14th June 2019 · 1 min read
