 Swiss Franc remained relatively stable today following SNB's decision to cut its policy rate by 25bps, bringing it down to 1.00%. This move defied some market speculations that anticipated a larger 50bps reduction. Despite opting for a smaller cut, SNB issued a decidedly dovish statement, sharply downgrading its inflation forecasts. The central bank signaled a clear easing bias, suggesting that further monetary accommodation is on the horizon. Incoming Chair Martin Schlegel reinforced this sentiment by indicating in an interview that another rate cut in December is "not unlikely." In the broader foreign exchange market, currencies traded within familiar ranges. Dollar softened despite better-than-expected durable goods orders and jobless claims data. Canadian Dollar emerged as the second weakest of the day, while Japanese Yen followed as the third. Australian Dollar led the gains, buoyed by strong risk-on sentiment s in both China and Hong Kong. New Zealand Dollar was the second-best performer, with British Pound also showing strength. Euro and Swiss Franc are mixed, positioned in the middle of the currency spectrum.... |
